Problem 7-5 (Algorithmic) Imprest (Petty Cash) Transaction

A small company maintains a petty cash fund for minor expenditures. The following transactions occurred in June and July 2014:

The fund was established in the amount of $610.00 on June 1 from the proceeds of check no. 30.

On June 30, the petty cash fund had cash of $141.36 and the following receipts on hand: postage, $200.00; supplies, $149.64; delivery service, $75.80; and rubber stamp, $43.20. Check no. 1577 was drawn to replenish the fund.

On July 31, the petty cash fund had cash of $131.36 and the following receipts on hand: postage, $219.60; supplies, $197.04; and delivery service, $35.00. The petty cash custodian could not account for the shortage. Check no. 1628 was written to replenish the fund.

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1. Prepare the journal entries necessary to record each of these transactions. For a compound transaction, if an amount box does not require an entry, leave it blank. Round your answers to the nearest cent.

2014 June 1
	To establish the petty cash fund
2014 June 30
	To replenish the petty cash fund
2014 July 31
	To replenish the petty cash fund