Question

Willard Company established a $370 petty cash fund on September 9, 2020. On September 30, the fund had $147.50 in cash along with receipts for these expenditures: transportation-in, $30.00, office supplies, $105.00, and repairs expense, $82.50. Willard uses the perpetual method to account for merchandise inventory. The petty cashier could not account for the $5.00 shortage in the fund. a. Prepare the September 9 entry to establish the fund. View transaction list Journal entry worksheet Record the entry to establish the fund. Note: Enter debits before credits. General Journal Debit Credit Date Sep 09, 2020 Record entry Clear entry View general journal

Answer 1

a.
			(Amount in $ )
S No	Date	General Journal	Debit	Credit
1	Sep 30,2020	Transportation-in	30.00
		Office supplies	105.00
		Repairs expense	82.50
		Cash over and short	5.00
		Petty Cash		222.50
b.			(Amount in $ )
S No	Date	General Journal	Debit	Credit
1	Sep 30,2020	Transportation-in	30.00
		Office supplies	105.00
		Repairs expense	82.50
		Cash over and short	5.00
		Petty Cash		222.50
S No	Date	General Journal	Debit	Credit
2	Sep 30,2020	Petty Cash	72.50
		Cash		72.50
Woking:-
	Petty Cash opng balance			370.00
	Less:- Expense			222.50
A)	Closing balance			147.50
B)	Balance to be maintaned			220.00
(B - A)	Amount to be infused into Petty cash A/c			72.50