Exercise 7-7 Petty cash fund LO4 Cameron Co. established a $178 petty cash fund on January 1, 2023. One week later, on January 8, the fund contained $34.57 in cash and receipts for these expenditures: postage, $49.84; transportation-in, $32.04; store supplies, $38.91; and a withdrawal of $22.64 by Jim Cameron, the owner. Cameron uses the perpetual method to account for merchandise inventory. a. Prepare the journal entry to establish the fund on January 1. View transaction list Journal entry worksheet 1 Record the entry to establish the fund. Note: Enter debits before credits. Date General Journal Debit Credit Journal entry worksheet < 1 Record the entry to establish the fund. Note: Enter debits before credits. ces Date January 01, 2023 General Journal Debit Credit Record entry Clear entry View general journal > b. Prepare a summary of the petty cash payments and record the entry to reimburse the fund on January 8. (Round your answers to 2 decimal places.) Receipts: CAMERON CO. Petty Cash Payments Report January 1-8, 2023 Total receipts Fund total Equals: Cash required to replenish petty cash Cash over/(short) 0.00 View transaction list Journal entry worksheet Record the entry to reimburse the fund. Note: Enter debits before credits. Date January 08, 2023 General Journal Debit Credit Record entry Clear entry View general journal 2023 Record entry Clear entry View general journal Analysis Component: If the January 8 entry to reimburse the fund were not recorded and financial statements were prepared for the month of January, would profit be over- or understated? O Understated Overstated