Required:

Nakashima Gallery had the following petty cash transactions in February of the current year.

Feb.	2		Wrote a $350 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 $16.15 that is immediately used.
	9		Paid $34.50 COD shipping charges on merchandise purchased for resale, terms FOB shipping point. Nakashima uses the perpetual system to account for merchandise inventory.
	12		Paid $7.25 postage to express mail a contract to a client.
	14		Reimbursed Adina Sharon, the manager, $70 for business mileage on her car.
	20		Purchased stationery for $69.77 that is immediately used.
	23		Paid a courier $19 to deliver merchandise sold to a customer, terms FOB destination.
	25		Paid $10.30 COD shipping charges on merchandise purchased for resale, terms FOB shipping point.
	27		Paid $60 for postage expenses.
	28		The fund had $22.18 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 $80 to a total of $430.

Prepare the journal entry to establish the petty cash fund. .

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.)

Prepare the journal entries for part 2 to both (a) reimburse and (b) increase the fund amount. (Round your answers to 2 decimal places.)