Question
Tamarisk, Inc. decided to establish a petty cash fund to help ensure internal control over its small cash expenditures. The following information is available for
Tamarisk, Inc. decided to establish a petty cash fund to help ensure internal control over its small cash expenditures. The following information is available for the month of April. 1. On April 1, it established a petty cash fund in the amount of $254. 2. A summary of the petty cash expenditures made by the petty cash custodian as of April 10 is as follows.
Delivery charges paid on merchandise purchased | $72 | |
Supplies purchased and used | 37 | |
Postage expense | 45 | |
I.O.U. from employees | 29 | |
Miscellaneous expense | 48 |
The petty cash fund was replenished on April 10. The balance in the fund was $12. 3. The petty cash fund balance was increased $112 to $366 on April 20. Prepare the journal entries to record transactions related to petty cash for the month of April.
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