The following data pertain to the petty cash fund of Stanton Company:
1. The petty cash fund was established on an imprest basis at $250 on March 1.
2. On March 31, a physical count of the fund disclosed $13 in currency and coins, vouchers authorizing meal allowances totaling $120, vouchers authorizing purchase of postage stamps of $21, and vouchers for payment of delivery charges of $93.

Required
a. Prepare all general journal entries necessary to (1) establish the fund, (2) reimburse employees, and (3) recognize the expenses and replenish the fund as of March 31.
b. Explain how the Cash Short and Over account required in this case affects the income statement.
c. Identify the event depicted in each journal entry recorded in Requirement a as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE).
d. Record the effects on the financial statements of the events in Requirement a using a horizontal statements model like the following one. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA).

Use NA to indicate that an account was not affected by theevent.

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Assets Liab. Equity RevExp. Net Inc. Cash Flow 0W Cash Petty Cash