50.1K

Verified Solution

Link Copied!

WilsonArt set up a petty cash fund of $200 on March 1,2017. On March 17, the petty cash box contained $19 and the following receipt: $75 for printing, $48 for taxi fare, and $55 for delivery expense. Record the reimbursement of the fund on March 17. 

QS 7-6 Petty cash LO4 Canmore Consulting established a $100 Petty cash fund on September 1, 2017. On the petty cash box contained $7 and receipt for the following expenses: $32 for entertainment expense (lunch with a client), $45 for computer repair, and $18 for delivery expense. Record the reimbursement of the fund on September 23. 

Castillo Company, the HR Consulting firm, established a $250 petty cash on February 10. On the February 28, the fund has $180 remaining in cash and receipts for these expenditures: postage, $10.51; office supplies, $50.00 and repair expenses, $10.50. Prepare: The February 10 entry to establish the fund. The February 28 entry to the record the fund transactions and replenish it, and Independent of (b), the February 28 entry to record the transaction and reduce the fund to $100. Analysis Component: Assume that there was no receipt for the $50.00 of office supplies. Should this amount be reimbursed? Explain why or why not. Planning the Solution: Total petty cash receipts. Calculate cash required to replenish petty cash Calculate cash over/(short), if any. Prepare journal entries as required. Prepare an answer to the analysis question.

Answer & Explanation Solved by verified expert

See Answer