Question

Oriole Company maintains a petty cash fund for small expenditures. These transactions occurred during the month of August. Aug. 1 Established the petty cash fund by writing a check payable to the petty cash custodian for $210.00. 15 Replenished the petty cash fund by writing a check. On this date, the fund consisted of $3.20 in cash and these petty cash receipts: freight-out $74.60, entertainment expense $35.50, postage expense $33.00, and miscellaneous expense $62.40. 16 Increased the amount of the petty cash fund to $490.00 by writing a check for $280.00. 31 Replenished the petty cash fund by writing a check. On this date, the fund consisted of $118 in cash and these petty cash receipts: postage expense $139.00, entertainment expense $93.00, and freight-out $138.00. Journalize the petty cash transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. Round answers to 2 decimal places, e.g. 52.75.) Date Account Titles and Explanation Debit Credit Aug. 15 Aug. 31 e Textbook and Media List of Accounts

Answer 1

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Naming convention is not available, can be slightly different: Solution: Credit Date Aug.01 Debit $ 210.00 $ 210.00 Aug.15 $ 74.60 $ 35.50 $ 33.00 $ 62.40 $ 1.30 Journal entries Account title and explaination Petty Cash Cash (To establish petty cash fund) Freight out Entertainment expense Postage expense Miscellaneous expense Cash over and short (plug) Cash (210-3.20) (To replenish petty cash fund) Petty Cash Cash (To Increase petty cash fund) Postage expense Entertainment expense Freight out Cash over and short (plug) Cash (490-118) (To replenish petty cash fund) $ 206.80 $ 280.00 $ 280.00 Aug.31 $ 139.00 $ 93.00 $ 138.00 $ 2.00 $ 372.00 8/1 Petty Cash 210 280 490 $ $ $ 8/16 8/31 Bal.