Question

Clooney Corp. establishes a petty cash fund for $225 and issues a credit card to its office manager. By the end of the month, employees made one expenditure from the petty cash fund entertainment, $15) and three expenditures with the credit card (postage, $58; delivery, $83; supplies expense, $48). Separately record employee credit card expenditures and employee petty cash expenditures. The credit card balance will be paid later. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) View transaction list View journal entry worksheet No Transaction General Journal Debit Credit 1 225 Petty Cash Cash 225 2 Entertainment Expense Postage Expense Delivery Expense Supplies Expense Petty Cash 225

Answer 1

Answer:

No.	Transaction	General Journal	Debit	Credit
1	1	Petty Cash   A/c                           Dr	$225
		To Cash A/c		$225
		(Being cash issued for petty cash fund)
2	2	Entertainment Expense A/c    Dr	$15
		To Petty Cash A/c		$15
		(Being entertainment expense paid through Petty cash)
3	3	Postage Expense A/c              Dr	$58
		Delivery Expense A/c             Dr	$83
		Supplies Expense A/c             Dr	$48
		To Credit Card A/c		$189
		(Being credit card used for payment of above petty expenses)

As the credit balance is paid later,an entry of payment of credit card balance will be entered at the time of such payment.