Willard Company established a $310 petty cash fund on September 9, 2020. On September 30, the fund had $123.50 in cash along with receipts for these expenditures: transportation-in, $25.20; office supplies, $88.20; and repairs expense, $68.10. Willard uses the perpetual method to account for merchandise inventory. The petty cashier could not account for the $5.00 shortage in the fund. a. Prepare the September 9 entry to establish the fund.

b. Prepare a summary of the petty cash payments and record the entry on September 30 to reimburse the fund and reduce it to $160. (Round your answers to 2 decimal places.)

Journal entry worksheet