contestada

Exercise 6-10 Petty cash fund accounting LO P2 Palmona Co. establishes a $200 petty cash fund on January 1. On January 8, the fund shows $38 in cash along with receipts for the following expenditures: postage, $74; transportation-in, $29; delivery expenses, $16; and miscellaneous expenses, $43. Palmona uses the perpetual system in accounting for merchandise inventory. Prepare journal entries to (1) establish the fund on January 1, (2) reimburse it on January 8, and (3) both reimburse the fund and increase it to $450 on January 8, assuming no entry in part 2. Hint: Make two separate entries for part 3.

Respuesta :

abiolataiwo2015

Answer:

1 Jan 01

Dr Petty cash 200

Cr Cash 200

2 Jan 1

Dr Postage expense 74

Cr Merchandise inventory 29

Dr Delivery expense 16

Cr Miscellaneous expenses 43

Cr Cash 162

3 Jan 08

Dr Postage expense 74

Dr Merchandise inventory 29

Dr Delivery expense 16

Dr Miscellaneous expenses 43

C Cash 162

Dr Petty cash 250

Cr Cash 250

Explanation:

1 Preparation of the journal entry to record reimburse the fund

Jan 01

Dr Petty cash 200

Cr Cash 200

2. Preparation of the reimburse it on January 8, and

Jan 08

Dr Postage expense 74

Dr Merchandise inventory 29

Dr Delivery expense 16

Dr Miscellaneous expenses 43

Cr Cash 162

3 Preparation of jourtnal for reimburse the fund and increase it to $450

Jan 08 Postage expense 74

Merchandise inventory 29

Delivery expense 16

Miscellaneous expenses 43

Cash 162

Petty cash 250

Cash 250

Otras preguntas