Budding Products had a balance of $400 in cash in its petty cash fund at the beginning of November. The following transactions took place in November: On November 1, the custodian paid $43 out of petty cash for new pens with Budding’s newly designed logo prominently displayed. This is considered supplies expense. On November 7, the custodian paid $84 out of petty cash for minor repairs to its equipment. This is a maintenance expense. On November 9, the custodian paid $33 out of petty cash for transportation-in. On November 15, the custodian paid $46 out of petty cash to have documents delivered to the accounting firm preparing the company’s corporate tax return. This is considered an other expense. On November 22, the custodian paid $125 out of petty cash to reimburse the Chief Financial Officer for costs he had incurred in traveling to the airport for an important international business conference. This is a travel expense. On November 28, the custodian submitted receipts for the above expenditures and a check was drawn for the amount to replenish the fund. Required: Prepare any journal entries made by the corporation to record these transactions. If no entry is required, select "No entry required". If an amount box does not require an entry, leave it blank.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Recording Petty Cash Transactions

Budding Products had a balance of $400 in cash in its petty cash fund at the beginning of November. The following transactions took place in November:

On November 1, the custodian paid $43 out of petty cash for new pens with Budding’s newly designed logo prominently displayed. This is considered supplies expense.
On November 7, the custodian paid $84 out of petty cash for minor repairs to its equipment. This is a maintenance expense.
On November 9, the custodian paid $33 out of petty cash for transportation-in.
On November 15, the custodian paid $46 out of petty cash to have documents delivered to the accounting firm preparing the company’s corporate tax return. This is considered an other expense.
On November 22, the custodian paid $125 out of petty cash to reimburse the Chief Financial Officer for costs he had incurred in traveling to the airport for an important international business conference. This is a travel expense.
On November 28, the custodian submitted receipts for the above expenditures and a check was drawn for the amount to replenish the fund.

Required:

Prepare any journal entries made by the corporation to record these transactions. If no entry is required, select "No entry required". If an amount box does not require an entry, leave it blank.

a. Nov. 1		- Select -	- Select -
		- Select -	- Select -
b. Nov. 7		- Select -	- Select -
		- Select -	- Select -
c. Nov. 9		- Select -	- Select -
		- Select -	- Select -
d. Nov. 15		- Select -	- Select -
		- Select -	- Select -
e. Nov. 22		- Select -	- Select -
		- Select -	- Select -
f. Nov. 28		- Select -	- Select -
		- Select -	- Select -
		- Select -	- Select -
		- Select -	- Select -
		- Select -	- Select -
		- Select -	- Select -
	(Replenish petty cash fund and record expenses)

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