Waupaca Company establishes a $340 petty cash fund on September 9. On September 30, the fund shows $62 in cash along with receipts for the following expenditures: transportation costs of merchandise purchased, $48; postage expenses, $75; and miscellaneous expenses, $143. The petty cashier could not account for a $12 shortage in the fund. The company uses the perpetual system in accounting for merchandise inventory. Prepare (1) the September 9 entry to establish the fund, (2) the September 30 entry to reimburse the fund, and (3) an October 1 entry to increase the fund to $415.

Journal entry worksheet

• Prepare the journal entry to establish the Petty Cash fund.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
Sept 9