During March, Anderson Company engaged in the following transactions involving its pettycash fund:a. On March 1, Anderson Company established the petty cash fund by issuing a check for$1,500 to the fund custodian.b. On March 4, the custodian paid $85 out of petty cash for freight charges on new equipment.This amount is properly classified as equipment.c. On March 12, the custodian paid $140 out of petty cash for supplies. Anderson expensessupplies purchases as supplies expense.d. On March 22, the custodian paid $25 out of petty cash for express mail services for reportssent to the Environmental Protection Agency. This is considered a miscellaneous expense.e. On March 25, the custodian filed a claim for reimbursement of petty cash expenditures duringthe month totaling $250.f. On March 31, Anderson issued a check for $250 to the custodian, replenishing the fund forexpenditures during the month.Required:Prepare any journal entries required to record the petty cash account transactions that occurredduring the month of March.
During March, Anderson Company engaged in the following transactions involving its pettycash fund:a. On March 1, Anderson Company established the petty cash fund by issuing a check for$1,500 to the fund custodian.b. On March 4, the custodian paid $85 out of petty cash for freight charges on new equipment.This amount is properly classified as equipment.c. On March 12, the custodian paid $140 out of petty cash for supplies. Anderson expensessupplies purchases as supplies expense.d. On March 22, the custodian paid $25 out of petty cash for express mail services for reportssent to the Environmental Protection Agency. This is considered a miscellaneous expense.e. On March 25, the custodian filed a claim for reimbursement of petty cash expenditures duringthe month totaling $250.f. On March 31, Anderson issued a check for $250 to the custodian, replenishing the fund forexpenditures during the month.Required:Prepare any journal entries required to record the petty cash account transactions that occurredduring the month of March.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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| During March, Anderson Company engaged in the following transactions involving its petty cash fund: a. On March 1, Anderson Company established the petty cash fund by issuing a check for $1,500 to the fund custodian. b. On March 4, the custodian paid $85 out of petty cash for freight charges on new equipment. This amount is properly classified as equipment. c. On March 12, the custodian paid $140 out of petty cash for supplies. Anderson expenses supplies purchases as supplies expense. d. On March 22, the custodian paid $25 out of petty cash for express mail services for reports sent to the Environmental Protection Agency. This is considered a miscellaneous expense. e. On March 25, the custodian filed a claim for reimbursement of petty cash expenditures during the month totaling $250. f. On March 31, Anderson issued a check for $250 to the custodian, replenishing the fund for expenditures during the month. Required: Prepare any during the month of March. |
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