Problem 6-3A Establishing, reimbursing, and increasing petty cash LO P2 Nakashima Gallery had the following petty cash transactions in February of the current year Feb. 2 Wrote a $340 check, cashed it, and gave the proceeds and the petty cashbox to Chloe Addison, the petty cashier. 5 Purchased bond paper for the copier for $16.75 that is immediately used 9 Paid $36.50 CoD shipping charges on merchandise purchased for resale, terms FOB shipping point. Nakashima uses the perpetual system to account for merchandise inventory 12 Paid $6.95 postage to express mail a contract to a client. 14 Reimbursed Adina Sharon, the manager, $71 for business mileage on her car. 20 Purchased stationery for $66.77 that is immediately used 23 Paid a courier $17 to deliver merchandise sold to a customer, terms F0B destination. 25 Paid $10.30 cOD shipping charges on merchandise purchased for resale, terms FOB shipping point. 27 Paid $54 for postage expenses 28 The fund had $23.28 remaining in the petty cash box. Sorted the petty cash receipts by accounts affected and exchanged them for a check to reimburse the fund for expenditures. 28 The petty cash fund amount is increased by $130 to a total of $470. Required 1. Prepare the journal entry to establish the petty cash fund 2. Prepare a petty cash payments report for February with these categories: delivery expense, mileage expense, postage expense merchandise inventory (for transportation-in), and office supplies expense. Sort the payments into the appropriate categories and total the expenditures in each category 3. Prepare the journal entries for required 2 to both (a) reimburse and (b) increase the fund amount. Required Required 2 Required 3 Prepare the journal entry to establish the petty cash fund View transaction list Journal entry worksheet Wrote a $340 check, cashed it, and gave the proceeds and the petty cashbox to Chloe Addison, the petty cashier. Note: Enter debits before credits. Date General Journal Debit Credit Feb 02 Required Required 2Required 3 Prepare a petty cash payments report for February with these categories: delivery expense, mileage expense, postage expense, merchandise inventory (for transportation-in), and office supplies expense. Sort the payments into the appropriate categories and total the expenditures in each category. (Round your answers to 2 decimal places.) NAKASHIMA GALLERY Petty Cash Payments Report (for February) Delivery expense Mileage expense Postage expense Merchandise inventory (transportation-in) Office supplies expense Total Required 1 Required 2 Required 3 Prepare the journal entries for required 2 to both (a) reimburse and (b) increase the fund amount. (Round your answers to 2 decimal places.) View transaction list Journal entry worksheet 2 Record the reimbursement of the petty cash fund. Note: Enter debits before credits. Date General Journal Debit Credit Feb 28
