Havermill Company establishes a $370 petty cash fund on September 1. On September 30, the fund is replenished. The accumulated receipts on that date represent $85 for Office Supplies, $149 for merchandise inventory, and $34 for miscellaneous expenses. The fund has a balance of $30. On October 1, the accountant determines that the fund should be increased by $60. The journal entry to record the increase in the fund balance on October 1 is:

Multiple Choice

• Debit Petty Cash $430; credit Cash $430.

• Debit Cash $60; credit Petty Cash $60.

• Debit Miscellaneous Expense $60; credit Cash $60.

• Debit Petty Cash $60; credit Accounts Payable $60.

• Debit Petty Cash $60; credit Cash $60.