Halifax Fitness Consulting completed the following petty cash transactions during February $2023$:

Feb. $2$ Prepared a $$3,110$ cheque, cashed it$,$ and gave the proceeds and the petty cash box to Nick Reed, the petty cashier.

$5$ Purchased paper for the copier, $$187.$

$9$ Paid $$324$ COD charges on merchandise purchased for resale. Assume Halifax Fitness Consulting uses the perpetual method to account for merchandise inventory.

$12$ Paid $$148$ postage to express mail a contract to a client.

$14$ Reimbursed Kim Marin, the manager of the business, $$1,284$ for business auto expenses.

$20$ Purchased stationery, $$567.$

$23$ Paid a courier $$18$ to deliver merchandise sold to a customer.

$25$ Paid $$45$ COD charges on merchandise purchased for resale.

$28$ Paid $$54$ for stamps.

$28$ Reed sorted the petty cash receipts by accounts affected and exchanged them for a cheque to reimburse the fund for expenditures. However, there was only $$7$ in cash in the fund. In addition, the size of the petty cash fund was increased to $$6,800.$

Required:

$1.$ Prepare a journal entry to record establishing the petty cash fund.

$2.$ Prepare a summary of petty cash payments.Halifax Fitness Consulting completed the following petty cash transactions during February $2023$:

Feb. $2$ Prepared a $$3,110$ cheque, cashed it$,$ and gave the proceeds and the petty cash box to Nick Reed, the petty cashier.

$5$ Purchased paper for the copier, $$187.$

$9$ Paid $$324$ COD charges on merchandise purchased for resale. Assume Halifax Fitness Consulting uses the perpetual method to account for merchandise inventory.

$12$ Paid $$148$ postage to express mail a contract to a client.

$14$ Reimbursed Kim Marin, the manager of the business, $$1,284$ for business auto expenses.

$20$ Purchased stationery, $$567.$

$23$ Paid a courier $$18$ to deliver merchandise sold to a customer.

$25$ Paid $$45$ COD charges on merchandise purchased for resale.

$28$ Paid $$54$ for stamps.

$28$ Reed sorted the petty cash receipts by accounts affected and exchanged them for a cheque to reimburse the fund for expenditures. However, there was only $$7$ in cash in the fund. In addition, the size of the petty cash fund was increased to $$6,800.$

Required:

$1.$ Prepare a journal entry to record establishing the petty cash fund.

$2.$ Prepare a summary of petty cash payments.