waupaca Company establishes a $440 petty cash fund on September 9. On September 30, the fund shows $152 in cash along wit receipts for the following expenditures: transportation-in, $58; postage expenses, $76; and miscellaneous expenses, $148. The pe cashier could not account for a $6 shortage in the fund. The company uses the perpetual system in accounting for merchandise inventory. Prepare (1) the September 9 entry to establish the fund, (2) the September 30 entry to reimburse the fund, and (3) an October 1 ent increase the fund to $500.
waupaca Company establishes a $440 petty cash fund on September 9. On September 30, the fund shows $152 in cash along wit receipts for the following expenditures: transportation-in, $58; postage expenses, $76; and miscellaneous expenses, $148. The pe cashier could not account for a $6 shortage in the fund. The company uses the perpetual system in accounting for merchandise inventory. Prepare (1) the September 9 entry to establish the fund, (2) the September 30 entry to reimburse the fund, and (3) an October 1 ent increase the fund to $500.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
The entry title for transportation-in is said to be incorrect even though the problem states that transportation-in was $58, which the $58 entry was right but the title for it was wrong. The only other thing I could think that goes there is freight-in but thats not an option. Thank you.
Transcribed Image Text:Waupaca Company establishes a $440 petty cash fund on September 9. On September 30, the fund shows $152 in cash along with
receipts for the following expenditures: transportation-in, $58; postage expenses, $76; and miscellaneous expenses, $148. The petty
cashier could not account for a $6 shortage in the fund. The company uses the perpetual system in accounting for merchandise
inventory.
Prepare (1) the September 9 entry to establish the fund, (2) the September 30 entry to reimburse the fund, and (3) an October 1 entry to
increase the fund to $500.
View transaction list
Journal entry
worksheet
1
2
3
Record the reimbursement of the petty cash fund.
Note: Enter debits before credits.
Date
General Journal
Credit
September 30 Transportation-in
Postage expense
Miscellaneous expenses
Cash over and short
Cash
Record entry
Clear entry
Debit
58
76
148
6
288
View general journal
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