Question

Prepare journal entries for the following:

Establish a Petty Cash Fund for Juliet’s Nutrition Counseling Services for $200.00

Prepare a Petty Cash Payment Report for the month of January 2018. The receipts in the petty cash box are as follows:

Paid for Office Supplies of 22.50.

Purchased photocopy toner for 45.50.

Paid a courier 15.25 to deliver merchandise sold to a customer.

Purchased 25.00 of stamps.

Paid 28.00 COD charges for merchandise purchased for resale. Assume the use of a perpetual inventory system.

Reimbursed Jim Jones 35.00 for business auto expenses.

The cash left in the box amounted to 22.85.

Replenish the fund and increase the Petty Cash Fund to $250.

Answer 1

Sep-09	Petty Cash	$ 200.00
	Cash		$ 200.00
Sep-30	Office supplies	$    22.50
	Photocopy tuner expenses	$    45.50
	Courier charges	$    15.25
	Stamps expenses	$    25.00
	Inventory	$    28.00
	Business auto expenses	$    35.00
	Cash Shortage	$      5.90
	Petty Cash		$ 177.15
	(being amounts expended from petty cash)
Oct-01	Petty Cash ($250-$22.85)	$ 227.15
	Cash		$ 227.15
	(being amount needed to top up the petty cash box to $250)