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Ferguson Co. decides to establish a petty cash fund with a beginning balance of $330. The company decides that any purchase under $51 can be
Ferguson Co. decides to establish a petty cash fund with a beginning balance of $330. The company decides that any purchase under $51 can be processed through petty cash instead of the voucher system. The journal entry to record establishing the account is: |
Debit Cash $330 and credit Petty Cash Over and Short $330.
Debit Cash $330 and credit Cash Over and Short $330.
Debit Cash $330 and credit Petty Cash $330.
Debit Petty Cash $330 and credit Cash $330.
Debit Petty Cash $330; credit Cash $279; and credit Cash Over and Short $51.
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