PR 8-2A Transactions for petty cash, cash short and over

Picasso Restoration Company completed the following selected transactions during
August 2012:

Aug. 1. Established a petty cash fund of $750.

10. The cash sales for the day, according to the cash register records, totaled $9,780. The actual cash received from cash sales was $9,800.

31. Petty cash on hand was $240. Replenished the petty cash fund for the following disbursements, each evidenced by a petty cash receipt:

Aug. 3. Store supplies, $251.

7. Express charges on merchandise sold, $60 (Delivery Expense).

9. Office supplies, $20.

13. Office supplies, $30.

19. Postage stamps, $11 (Offi ce Supplies).

21. Repair to office file cabinet lock, $40 (Miscellaneous Administrative Expense).

Aug. 22. Postage due on special delivery letter, $18 (Miscellaneous Administrative Expense).

24. Express charges on merchandise sold, $50 (Delivery Expense).

30. Office supplies, $15.

31. The cash sales for the day, according to the cash register records, totaled $11,200. The actual cash received from cash sales was $11,130.

31. Decreased the petty cash fund by $100.

Instructions

Journalize the transactions.


Answer:

2012
Aug. 1 Petty Cash ........................................................... 750
 Cash................................................................. 750
 10 Cash..................................................................... 9,800
 Cash Short and Over ...................................... 20
 Sales ................................................................ 9,780
 31 Store Supplies..................................................... 251
 Delivery Expense ................................................ 110
 Office Supplies.................................................... 76
 Miscellaneous Administrative Expense............ 58
 Cash Short and Over.......................................... 15
 Cash................................................................. 510
 31 Cash..................................................................... 11,130
 Cash Short and Over.......................................... 70
 Sales ................................................................ 11,200
 31 Cash..................................................................... 100
 Petty Cash ....................................................... 100 

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