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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 $16.55 that is immediately used.
	9		Paid $40.50 COD shipping charges on merchandise purchased for resale, terms FOB shipping point. Nakashima uses the perpetual system to account for merchandise inventory.
	12		Paid $8.15 postage to express mail a contract to a client.
	14		Reimbursed Adina Sharon, the manager, $66 for business mileage on her car.
	20		Purchased stationery for $68.77 that is immediately used.
	23		Paid a courier $21 to deliver merchandise sold to a customer, terms FOB destination.
	25		Paid $10.70 COD shipping charges on merchandise purchased for resale, terms FOB shipping point.
	27		Paid $59 for postage expenses.
	28		The fund had $22.02 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 $150 to a total of $490.

roblem 6-2A Part 1

Required:
1.	Prepare the journal entry to establish the petty cash fund.

Journal Entry Worksheet

• Wrote a $340 check, cashed it, and gave the proceeds and the petty cashbox to Chloe Addison, the petty cashier.

Date

General Journal

Debit

Credit

Feb. 02

*Enter debits before credits

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2.

value:

9.00 points

Problem 6-2A Part 2

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. (Round your answers to 2 decimal places.)

Nakashima Gallery
Petty Cash Payments Report
Delivery expense
Mileage expense
Postage expense
Merchandise inventory (transportation-in)
Office supplies expense
Total

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3.

value:

6.00 points

Problem 6-2A Part 3

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

Journal Entry Worksheet

• Record the reimbursement of the petty cash fund.
• Record the increase of the petty cash fund.

Date

General Journal

Debit

Credit

Feb. 28

*Enter debits before credits