Problem 1-7 (IAA)Laborious Company closed the accounts on June 30. Theentity provided the following transactions:May 2 The entity established an imprest fund of P10,000.29 The fund is replenished. The petty cash itemsinclude:Currency and coinPostageSuppliesTransportationMiscellaneous expense2,0001,0003,0002,5001,500June 30 The fund was not replenished. The fund is composedof the following:Currency and coinSuppliesPostageTransportation6,0002,0001,0001,000July 15 The fund is replenished and increased to P15,000.Currency and coinSuppliesPostageTransportationMiscellaneous expense3,0003,5001,5001,500500Required:Prepare journal entries to record the transactions underimprest fund system and fluctuating fund system.

In the imprest system of petty cash funds the balance of petty cash is fixed whereas in the…

Answered: Required: Prepare journal entries to…

Business

Accounting

Required: Prepare journal entries to record the transactions under imprest fund system and fluctuating fund system.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: What is the purpose of reporting fund balance in five classifications? What is the difference…

A: A fund balance refers to the difference between the assets and liabilities of a government fund. If…

Q: compare the presentation and disclosure of defi ned contribution and defi ned benefi tpension plans;

A: Pension Plans: These types of plans provide retirees the benefit of the services that they provided…

Q: At what point in time does a governmental fund report an expenditure?

A: Definition: Governmental (expendable) funds: Governmental (expendable) funds are used in the state…

Q: Name three events that might change the balance of the plan assets.

A: Plan assets: Plan assets refers to the assets which are used to satisfy the postretirement…

Q: ne purpose of casualty policy’s condition section is to list the property that is to be covered…

A: Casualty policies are taken to prevent the the company from liabilities arising out of damage or…

Q: Prepare a one-page memo for a client organization to explain the purpose of a capital funds project…

A: The objective of this question is to prepare a memo that explains the purpose of a capital funds…

Q: Describe the physical structure of a complete set of government-wide financial statements and a…

A: This question is answered generally by giving an overview of Governmental financial statements of…

Q: rces in the general fund get assigned to a specific

A: Resource allocation is considered to important part of business and investment . it is important…

Q: how may resources in the general fund can be assigned to a specific purpose (if that is the intent…

A: The gap between assets as well as liabilities throughout the government expenditures balance sheet…

Q: What are the two different ways that supplies and prepaid items can be recorded on fund financial…

A: There are two different methods to record supplies and prepaid items on fund financial statements:…

Q: Which Statement is presented using the accrual basis of accounting? Multiple Choice A. Governmental…

A: The accrual basis of accounting is a system of documenting and reporting financial transactions in…

Q: he following items/events relate to hospitals covered. Classify each of the following items as…

A: When it is mentioned that an event is reported on the statement below the performance indicator, it…

Q: List and define the five classifications of government funds and provide an example for each…

A: The five classifications of governmental funds are: General Fund Special Revenue Fund Debt Service…

Q: The governmental fund financial statements are intended to report on fiscal accountability.…

A: Fiscal accountability refers to developing and maintaining budget and independent fiscal review.

Q: Please describe a special revenue fund you find particularly beneficial.

A: A special revenue fund is a govt account that gathers money for a specific project. Special revenue…

Q: Explain precautionary balance

A: Precautionary balance refers to the reserves kept by the firm or individual to meet any contingency.…

Q: Amount at which to record donated property? Which funds would record things such as long-term…

A: Donated property refers to the asset which a company receives as a gift. The company need not to pay…

Q: What are the purpose and financial reporting requirements for the General and Special Revenue Funds?…

A: The general fund is the primary operating fund of a government, and it is responsible for anything…

Q: Which basis of accounting should be used when preparing a budgetary comparison schedule (or…

A: Answer:- Budgetary meaning:- To put it succinctly, budgetary refers to everything associated with a…

Q: Describe the financial statements and journal entries utilized to account for estate and trust…

Q: State the kinds of note disclosures that need to be made to help users understand the nature of…

A: Question is answered based on Government Accounting. A general fund is a primary fund used by a…

Question

Problem 1-7 (IAA)
Laborious Company closed the accounts on June 30. The
entity provided the following transactions:
May 2 The entity established an imprest fund of P10,000.
29 The fund is replenished. The petty cash items
include:
Currency and coin
Postage
Supplies
Transportation
Miscellaneous expense
2,000
1,000
3,000
2,500
1,500
June 30 The fund was not replenished. The fund is composed
of the following:
Currency and coin
Supplies
Postage
Transportation
6,000
2,000
1,000
1,000
July 15 The fund is replenished and increased to P15,000.
Currency and coin
Supplies
Postage
Transportation
Miscellaneous expense
3,000
3,500
1,500
1,500
500
Required:
Prepare journal entries to record the transactions under
imprest fund system and fluctuating fund system.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

A Voluntary Health & Welfare NFP would include which of the following financial statements in its basic financial statements? Statement of financial position and statement of activities Statement of financial position, statement of activities, and statement of cash flows Statement of financial position, statement of activities, statement of cash flows, and statement of functional expenses Statement of financial position, statement of activities, and statement of functional expenses Choose one
The following items/events relate to hospitals covered. Classify each of the following items as follows: A. Event is reported on the “Statement of Operations” below the performance indicator. B. Event is reported on the “Statement of Operations” above the performance indicator. C. Event affects only the restricted net assets portion of the Statement of Changes in Net Assets D. Event affects both the Statement of Operations above the performance indicator and the restricted net assets portion of the Statement of Changes in Net Assets. E. Event affects both the Statement of Operations below the performance indicator and the restricted net assets portion of the Statement of Changes in Net Assets. F. Event affects only the Statement of Financial Position. G. Event is reported only in the notes to the financial statements. Realized gains on non-trading securities held as unrestricted investments.
What are types of activities are reported in Custodial Funds?
An inter-fund transfer out should be reported in a governmental fund operating statement as a (an)
Describe the concept of refundable deposits.
List the priority of claims for the distribution of a liquidatedfirm’s assets.
snju