Journalize the issue of check for petty cash fund establishment.

Question

On May 1 of this year, Ellsworth and Company established a Petty Cash Fund. The following petty cash transactions took place during the month: May Transactions: May 1 Cashed check no. 956 for $150 to establish a Petty Cash Fund, and put the $150 in a locked drawer in the office. 3 Bought postage stamps, $8.80, voucher no. 1 (Miscellaneous Expense). 4 Issued voucher no. 2 for taxi fare, $12 (Miscellaneous Expense). 6 Issued voucher no. 3 for delivery charges on outgoing parts, $15. 9 B. Ellsworth, the owner, withdrew $25 for personal use, voucher no. 4. 13 Paid $8.29 for postage, voucher no. 5 (Miscellaneous Expense). 19 Bought pens for office, $6, voucher no. 6. 23 Paid $3.59 for a box of staples, voucher no. 7. 28 Paid $15 for window cleaning service, voucher no. 8 (Miscellaneous Expense). 29 Paid $2 for pencils for office, voucher no. 9. 31 Issued for cash check no. 1098 for $95.68 to reimburse Petty Cash Fund. Required: 1.…

Answer 1

Question

Chapter 6, Problem 2PA

1.

To determine

Journalize the issue of check for petty cash fund establishment.

2.

To determine

Prepare a petty cash payments report of Company E for the month of May.

3.

To determine

Journalize the transaction for reimbursement of petty cash fund.

Expert Solution & Answer

Trending nowThis is a popular solution!

See solution

Check out sample textbook solution

Students have asked these similar questions

On May 1 of this year, Ellsworth and Company established a Petty Cash Fund. The following petty cash transactions took place during the month: May Transactions: May 1 Cashed check no. 956 for $150 to establish a Petty Cash Fund, and put the $150 in a locked drawer in the office. 3 Bought postage stamps, $8.80, voucher no. 1 (Miscellaneous Expense). 4 Issued voucher no. 2 for taxi fare, $12 (Miscellaneous Expense). 6 Issued voucher no. 3 for delivery charges on outgoing parts, $15. 9 B. Ellsworth, the owner, withdrew $25 for personal use, voucher no. 4. 13 Paid $8.29 for postage, voucher no. 5 (Miscellaneous Expense). 19 Bought pens for office, $6, voucher no. 6. 23 Paid $3.59 for a box of staples, voucher no. 7. 28 Paid $15 for window cleaning service, voucher no. 8 (Miscellaneous Expense). 29 Paid $2 for pencils for office, voucher no. 9. 31 Issued for cash check no. 1098 for $95.68 to reimburse Petty Cash Fund. Required: 1.…

The following petty cash transactions were made by the Freeman Corporation during the month of September. Record the transactions in the journal provided in the account order that they appear below. Sep 1 Established a petty cash fund of $300. Sep 15 Reimbursed the petty cash fund for the following: Stapler, staples, and tape $55 Pizza for the office party (meals) $85 Maintenance/Janitorial $112 The cash in the box before reimbursement was $40. Sep 16 Realized the petty cash fund should be increased to $400. Sep 30 Reimbursed the petty cash fund for the following: Delivery charges $85 Toner and paper for office printer $115 Lunch for the customer $130 The…