Exercise 8-10 (Algo) Petty cash fund accounting LO P2 Palmona Company establishes a $140 petty cash fund on January 1. On January 8, the fund shows $37 in cash along with receipts for the following expenditures: postage, $45; transportation-in, $11; delivery expenses, $13; and miscellaneous expenses, $34. Palmona uses the perpetual system in accounting for merchandise inventory. 1. Prepare the entry to establish the fund on January 1. 2. Prepare the entry to reimburse the fund on January 8 under two separate situations: a. To reimburse the fund. b. To reimburse the fund and increase it to $190. Hint. Make two entries.

Exercise 8-10 (Algo) Petty cash fund accounting LO P2 Palmona Company establishes a $140 petty cash fund on January 1. On January 8, the fund shows $37 in cash along with receipts for the following expenditures: postage, $45; transportation-in, $11; delivery expenses, $13; and miscellaneous expenses, $34. Palmona uses the perpetual system in accounting for merchandise inventory. 1. Prepare the entry to establish the fund on January 1. 2. Prepare the entry to reimburse the fund on January 8 under two separate situations: a. To reimburse the fund. b. To reimburse the fund and increase it to $190. Hint. Make two entries.

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter5: Cash Control Systems

Section: Chapter Questions

Problem 4AP

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Record the following transactions: A. Started a petty cash fund in the amount of $1,000. B. Replenished petty cash fund using the following expenses: Auto $61, Office Expenses $23, Postage Expense $57, Miscellaneous Expenses $30. C. The company has decided to reduce the petty cash fund to $600.
On June 1 French company has decided to initiate a petty cash fund in the amount of $800. Prepare journal entries for the following transactions: A. On June 5, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $37, Supplies $124, Postage Expense $270, Repairs and Maintenance Expense $168, Miscellaneous Expense $149. The cash on hand at this time was $48. B. On June 14, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $18, Supplies $175, Postage Expense $50, Repairs and Maintenance Expense $269, Miscellaneous Expense $59. The cash on hand at this time was $220. C. On June 23, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $251, Supplies $88, Postage Expense $63, Repairs and Maintenance Expense $182, Miscellaneous Expense $203. The cash on hand at this time was $20. D. On June 29, the company determined that the petty cash fund needed to be increased to $1,000. E. On June 30, the petty cash fund needed replenishment, as it was month end. The following are the receipts: Auto Expense $18, Supplies $175, Postage Expense $50, Repairs and Maintenance Expense $269, Miscellaneous Expense $59. The cash on hand at this time was $437.
On July 2 Kellie Company has decided to initiate a petty cash fund in the amount of $1,200. Prepare journal entries for the following transactions: A. On July 5, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $125, Supplies $368, Postage Expense $325, Repairs and Maintenance Expense $99, Miscellaneous Expense $259. The cash on hand at this time was $38. B. On June 14, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $425, Supplies $95, Postage Expense $240, Repairs and Maintenance Expense $299, Miscellaneous Expense $77. The cash on hand at this time was $110. C. On June 23, the petty cash fund needed replenishment and the following are the receipts: Auto Expense $251, Supplies $188, Postage Expense $263, Repairs and Maintenance Expense $182, Miscellaneous Expense $203. The cash on hand at this time was $93. D. On June 29, the company determined that the petty cash fund needed to be decreased to $1,000. E. On June 30, the petty cash fund needed replenishment, as it was month end. The following are the receipts: Auto Expense $14, Supplies $75, Postage Expense $150, Repairs and Maintenance Expense $121, Miscellaneous Expense $39. The cash on hand at this time was $603.
Record the following transactions: A. Started a petty cash fund in the amount of $500. B. Replenished petty cash fund using the following expenses: Auto $24, Office Expenses $43, Postage Expense $19, Miscellaneous Expenses $25. Cash on hand is $389. C. The company has decided to reduce the petty cash fund to $300.
On September 1, French company has decided to initiate a petty cash fund in the amount of $800. Prepare journal entries for the following transactions: A. On September 5, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $37, Supplies $124, Postage Expense $270, Repairs and Maintenance Expense $168, Miscellaneous Expense $149. The cash on hand at this time was $48. B. On September 14, the petty cash fund needed replenishment and the following are the receipts: Auto Expense $18, Supplies $175, Postage Expense $50, Repairs and Maintenance Expense $269, Miscellaneous Expense $59. The cash on hand at this time was $210. C. On September 23, the petty cash fund needed replenishment and the following are the receipts: Auto Expense $251, Supplies $88, Postage Expense $63, Repairs and Maintenance Expense $182, Miscellaneous Expense $203. The cash on hand at this time was $20. D. On September 29, the company determined that the petty cash fund needed to be increased to $1,000. E. On September 30, the petty cash fund needed replenishment as it was month end. The following are the receipts: Auto Expense $18, Supplies $15, Postage Expense $57, Repairs and Maintenance Expense $49, Miscellaneous Expense $29. The cash on hand at this time was $837.
Petty Cash PolekMart established a $1,050 petty cash fund on May 2. On May 30, the fund shows $326 in cash along with receipts for the following expenditures: transportation-in, $120; postage expenses, $369, and miscellaneous expenses, $240. The company uses the perpetual system in accounting for merchandise inventory. Prepare the entries to (1) establish the fund, (2) reimburse the fund, and (3) increase the fund to $1,200.
Exercise 6-10 (Algo) Petty cash fund accounting LO P2 Palmona Company establishes a $160 petty cash fund on January 1. On January 8, the fund shows $61 in cash along with receipts for the following expenditures: postage, $41; transportation-in, $13; delivery expenses, $15; and miscellaneous expenses, $30. Palmona uses the perpetual system in accounting for merchandise inventory.1. Prepare the entry to establish the fund on January 1.2. Prepare the entry to reimburse the fund on January 8 under two separate situations:a. To reimburse the fund.b. To reimburse the fund and increase it to $210. Hint: Make two entries.
Exercise 6-10 (Algo) Petty cash fund accounting LO P2 Palmona Company establishes a $160 petty cash fund on January 1. On January 8, the fund shows $71 in cash along with receipts for the following expenditures: postage, $36; transportation-in, $13; delivery expenses, $15; and miscellaneous expenses, $25. Palmona uses the perpetual system in accounting for merchandise inventory. 1. Prepare the entry to establish the fund on January 1. 2. Prepare the entry to reimburse the fund on January 8 under two separate situations: a. To reimburse the fund. b. To reimburse the fund and increase it to $210. Hint. Make two entries.
PETTY CASH FUND (EXERCISES) ZEALOUS COMPANY ESTABLISHED A PETTY CASH FUND. 1. ESTABLISHEDA PETTY CASH FUND OF P10,000 ON JANUARY 2. 2 PETTY CASH FUND EXPENSES-JANUARY 2-31 ARE: POSTAGE-P1,500; SUPPLIES-P5,500; TRANSPORTATION-P1,200; MISCELLANEOUS EXPENSE -P800 3 THE FUND IS REPLENISHED ON FEBRUARY 1 AND INCREASED BY P5,000. REQUIREMENT: PREPARE A JOURNAL ENTRIES TO RECORD THE TRANSACTIONS UNDER THE FLUCTUATING FUND SYSTEM AND IMPREST FUND SYSTEM.
EcoMart establishes a $1,050 petty cash fund on May 2. On May 30, the fund shows $326 in cash along with receipts for the following expenditures: transportation-in, $120; postage expenses, $369; and miscellaneous expenses, $240. The company uses the perpetual system in accounting for merchandise inventory. What is the journal entry to record the establishment of the fund on May 2? A. Debit Petty Cash $1,050; credit Cash $1,050 B. Debit Miscellaneous Expense $1,050; credit Cash $1,050 C. Debit Cash $1,050; credit Accounts Payable $1,050 D. Debit Petty Cash $1,050; credit Accounts Payable $1,050
The entry to replenish a petty cash fund includes a credit to Select one: A. Cash. B. Freight-in. C. Petty Cash. D. Postage Expense. Presto Company purchased equipment and these costs were incurred: Cash price $65,000 Sales taxes 3,600 Insurance during transit 640 Installation and testing 860 Total costs $70,100 Presto will record the acquisition cost of the equipment as Select one: a. $65,000. b. $68,600 c. $69,240. d. $70,100. Grimwood Trucking purchased a tractor trailer for $171,500. Interline uses the units-of-activity method for depreciating its trucks and expects to drive the truck 1,000,000 miles over its 12-year useful life. Salvage value is estimated to be $24,500. If the truck is driven 90,000 miles in its first year, how much depreciation expense should Grimwood…
View Policies Current Attempt in Progress Blue Spruce Company established a $110 petty cash fund on August 1. On August 31, the fund had $9 cash remaining and petty cash receipts for postage $41, office supplies $24, and miscellaneous expense $34. Prepare journal entries to establish the fund on August 1 and replenish the fund on August 31. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation e Textbook and Media Debit Credit