James Hughes Company established a petty cash fund on May 1, cashing a check for $119.84. The company reimbursed the fund on June 1 and July 1 with the following results.
June 1: Cash in fund $3.65. Receipts: delivery expense $34.29; postage expense $39.27; and miscellaneous expense $25.34.
July 1: Cash in fund $3.34. Receipts: delivery expense $21.45; entertainment expense $63.44; and miscellaneous expense $31.61.
On July 10, James Hughes increased the fund from $119.84 to 197.03.
Prepare journal entries for James Hughes Company for May 1, June 1, July 1, and July 10. (For multiple debit/credit entries, list amounts from largest to smallest.)© BrainMass Inc. brainmass.com June 4, 2020, 1:46 am ad1c9bdddf
This solution illustrates the entries made to create, replenish (i.e., reimburse), and increase a petty cash fund.