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On January 1st, a petty cash fund has been established with $100 in it as shown by the following journal entry: Petty Cash 100.00 Cash-General

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On January 1st, a petty cash fund has been established with $100 in it as shown by the following journal entry: Petty Cash 100.00 Cash-General 100.00 On January 10th, Jones purchased $12.00 of supplies for the company. On January 12th Jones is given $12.00 from the petty cash fund and signs a receipt for it. On January 31st, the Petty Cash Fund is replenished. Which of the following is true? On January 12th a debit will be made to Supplies expense for $12. On January 13th, Petty Cash will be shown to be $38 on the books On January 31st when Petty Cash is replenished, a credit will be posted to Petty Cash for $12. Petty Cash will always show a balance of $100 on the books

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