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

Cedar Springs Company completed the following selected transactions during November 2012:

Nov. 1. Established a petty cash fund of $850.

12. The cash sales for the day, according to the cash register records, totaled $16,100. The actual cash received from cash sales was $16,175.

30. Petty cash on hand was $70. Replenished the petty cash fund for the following disbursements, each evidenced by a petty cash receipt:

Nov. 2. Store supplies, $100.

10. Express charges on merchandise purchased, $260 (Merchandise Inventory).

14. Office supplies, $125.

15. Office supplies, $80.

18. Postage stamps, $70 (Offi ce Supplies).

20. Repair to fax, $35 (Miscellaneous Administrative Expense).

21. Repair to offi ce door lock, $15 (Miscellaneous Administrative Expense).

22. Postage due on special delivery letter, $40 (Miscellaneous Administrative Expense).

28. Express charges on merchandise purchased, $40 ( Merchandise Inventory).

30. The cash sales for the day, according to the cash register records, totaled $19,415. The actual cash received from cash sales was $19,350.

30. Increased the petty cash fund by $150.

Instructions
Journalize the transactions.


Answer:

2012
Nov. 1 Petty Cash ........................................................... 850
 Cash................................................................. 850
 12 Cash..................................................................... 16,175
 Cash Short and Over ...................................... 75
 Sales ................................................................ 16,100
 30 Store Supplies..................................................... 100
 Merchandise Inventory....................................... 300
 Office Supplies.................................................... 275
 Miscellaneous Administrative Expense............ 90
 Cash Short and Over.......................................... 15
 Cash................................................................. 780
 30 Cash..................................................................... 19,350
 Cash Short and Over.......................................... 65
 Sales ................................................................ 19,415
 30 Petty Cash ........................................................... 150
 Cash................................................................. 150 

Popular posts from this blog

PR 9-2A Aging of receivables; estimating allowance for doubtful accounts

Image
Angler’s Dream Company supplies flies and fishing gear to sporting goods stores and outfitters throughout the western United States. The accounts receivable clerk for Angler’s Dream prepared the following partially completed aging of receivables schedule as of the end of business on December 31, 2011: The following accounts were unintentionally omitted from the aging schedule: Customer                                            Due Date                        Balance  Antelope Sports & Flies                June 21, 2011                      $ 3,000  Big Hole Flies                               Aug. 30, 2011         ...
Read more

PR 10-5A Transactions for fixed assets, including sale

The following transactions, adjusting entries, and closing entries were completed by D. Hurd Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. 2010 Jan.  9. Purchased a used delivery truck for $30,000, paying cash. Mar. 17. Paid garage $400 for miscellaneous repairs to the truck. Dec. 31. Recorded depreciation on the truck for the year. The estimated useful life of the truck is four years, with a residual value of $6,000 for the truck. 2011 Jan.   2. Purchased a new truck for $48,000, paying cash. Aug   1. Sold the used truck for $12,500. (Record depreciation to date in 2011 for the truck.) Sept. 23. Paid garage $325 for miscellaneous repairs to the truck. Dec. 31. Record depreciation for the new truck. It has an estimated residual value of $11,000 and an estimated life of fi ve years. 2012 July    1. Purchased a new truck for $52,000, paying cash. Oct.   ...
Read more

PR 9-1A Entries related to uncollectible accounts

Image
The following transactions were completed by Axiom Management Company during the current fiscal year ended December 31: Feb.  17. Received 25% of the $30,000 balance owed by Gillespie Co., a bankrupt business, and wrote off the remainder as uncollectible. Apr.  11. Reinstated the account of Colleen Bertram, which had been written off in the preceding year as uncollectible. Journalized the receipt of $4,250 cash in full payment of Colleen’s account. July  6. Wrote off the $9,000 balance owed by Covered Wagon Co., which has no assets. Nov. 20. Reinstated the account of Dugan Co., which had been written off in the preceding year as uncollectible. Journalized the receipt of $5,900 cash in full payment of the account. Dec. 31. Wrote off the following accounts as uncollectible (compound entry): Kipp Co., $3,000; Moore Co., $4,000; Butte Distributors, $8,000; Parker Towers, $6,700.          31. Based on an analysis of the $1,200,000 of accounts receivabl...
Read more