E9B. A small company maintains a petty cash fund for minor expenditures. In June and July 2014, the following transactions took place: a. The fund was established in the amount of $100.00 on June 1 from the proceeds of check no. 2707. b. On June 30, the petty cash fund had cash of $15.46 and the following receipts on hand: postage, $40.00; supplies, $24.94; delivery service, $12.40; and rubber stamp, $7.20. Check no. 2778 was drawn to replenish the fund. c. On July 31, the petty cash fund had cash of $22.06 and these receipts on hand: post- age, $34.20; supplies, $32.84; and delivery service, $6.40. The petty cash custodian could not account for the shortage. Check no. 2847 was drawn to replenish the fund. Prepare the journal entries necessary to record each transaction.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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E9B. A small company maintains a petty cash fund for minor expenditures. In June and
July 2014, the following transactions took place:
a. The fund was established in the amount of $100.00 on June 1 from the proceeds of
check no. 2707.
b. On June 30, the petty cash fund had cash of $15.46 and the following receipts on
hand: postage, $40.00; supplies, $24.94; delivery service, $12.40; and rubber stamp,
$7.20. Check no. 2778 was drawn to replenish the fund.
c. On July 31, the petty cash fund had cash of $22.06 and these receipts on hand: post-
age, $34.20; supplies, $32.84; and delivery service, $6.40. The petty cash custodian
could not account for the shortage. Check no. 2847 was drawn to replenish the fund.
Prepare the journal entries necessary to record each transaction.
Transcribed Image Text:E9B. A small company maintains a petty cash fund for minor expenditures. In June and July 2014, the following transactions took place: a. The fund was established in the amount of $100.00 on June 1 from the proceeds of check no. 2707. b. On June 30, the petty cash fund had cash of $15.46 and the following receipts on hand: postage, $40.00; supplies, $24.94; delivery service, $12.40; and rubber stamp, $7.20. Check no. 2778 was drawn to replenish the fund. c. On July 31, the petty cash fund had cash of $22.06 and these receipts on hand: post- age, $34.20; supplies, $32.84; and delivery service, $6.40. The petty cash custodian could not account for the shortage. Check no. 2847 was drawn to replenish the fund. Prepare the journal entries necessary to record each transaction.
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