A petty cash fund was established with a 200 balance It curr
A petty cash fund was established with a $200 balance. It currently has cash of $35 and petty cash tickets as follows: Office expense $130 and Entertainment Expense $45. Which of the following would be included in the journal entry to replenish the Petty Cash fund?
A.
credit to Cash Short & Over for $10
B.
debit to Cash Short & Over for $10
C.
debit to Cash Short & Over for $25
D.
credit to Cash Short & Over for $25
Solution
Journal entry :
130
so answer is c) debit to Cash Short & Over for $25
| Date | accounts & explanation | debit | credit |
| Office expenses | 130 | ||
| Entertainment expenses | 45 | ||
| Cash Short & Over | 25 | ||
| Cash | 200 | ||
| (To record replenish of petty cash fund) | |||
