Nakashima Gallery had the following petty cash transactions in February of the current year. Feb. 2…
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Question “Nakashima Gallery had the following petty cash transactions in February of the current year. Feb. 2…”
Nakashima Gallery had the following petty cash transactions in February of the current year. Feb. 2 Wrote a $340 check, cashed it, and gave the proceeds and the petty cashbox to Chloe Addison, the petty cashier. 5 Purchased bond paper for the copier for $14.55 that is immediately used. 9 Paid $38.50 COD shipping charges on merchandise purchased for resale, terms FOB shipping point. Nakashina uses the perpetual system to account for merchandise inventory. 12 Paid $7.35 postage to express mail a contract to a client. 14 Reimbursed Adina Sharon, the manager, $65 for business mileage on her car. 20 Purchased stationery for $66.77 that is immediately used. 23 Paid a courier $15 to deliver merchandise sold to a customer, terms FOB destination. 25 Paid $11.50 COD shipping charges on merchandise purchased for resale, terms FOB shipping point. 27 Paid $53 for postage expenses. 28 The fund had $25.67 remaining in the petty cash box. Sorted the petty cash receipts by accounts affected and exchanged them for a check to reimburse the fund for expenditures. 28 The petty cash fund amount is increased by $150 to a total of $490. Required: 1. Prepare the journal entry to establish the petty cash fund. 2. Prepare a petty cash payments report for February with these categories: delivery expense, mileage expense, postage expense, merchandise inventory (for transportation-in), and office supplies expense. Sort the payments into the appropriate categories and total the expenditures in each category. 3. Prepare the journal entries for required 2 to both (a) reimburse and (b) increase the fund amount.
Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the journal entry to establish the petty cash fund. View transaction list Journal entry worksheet Wrote a $340 check, cashed it, and gave the proceeds and the petty cashbox to Chloe Addison, the petty cashier. Note: Enter debits before credits Date General Journal Debit Credit Feb 02 Record entry Clear entry View general journal
Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a petty cash payments report for February with these categories: delivery expense, mileage expense, postage expense, merchandise inventory (for transportation-in), and office supplies expense. Sort the payments into the appropriate categories and total the expenditures in each category. (Round your answers to 2 decimal places.) NAKASHIMA GALLERY Petty Cash Payments Report (for February) Delivery expense Mileage expense Postage expense Merchandise inventory (transportation-in) Office supplies expense Total ( Required 1 Required 3 >
Required 1 Required 2 Required 3 Prepare the journal entries for required 2 to both (a) reimburse and (b) increase the fund amount. (Round your answers to 2 decimal places.) View transaction list Journal entry worksheet < 1 2 Record the reimbursement of the petty cash fund. Note: Enter debits before credits General Journal Debit Credit Date Feb 28 Record entry Clear entry View general journal
Required 1 Required 2 Required 3 Prepare the journal entries for required 2 to both (a) reimburse and (b) increase the fund amount. (Round your answers to 2 decimal places.) View transaction list Journal entry worksheet Record the increase of the petty cash fund. Note: Enter debits before credits. Date General Journal Debit Credit Feb 28 Record entry Clear entry View general journal
Answer
1) | Date | General Journal | Debit | Credit | ||||
2-Feb | Petty cash | 340 | ||||||
Cash | 340 | |||||||
Petty cash payment Report (for February) | ||||||||
Delivery cost | ||||||||
23-Feb | Delivery of the customer’s merchandise | 15 | ||||||
Mileage expense | ||||||||
14-Feb | Mileage reimbursement | 65 | ||||||
Postage expense | ||||||||
12-Feb | Product delivery expedited | 7.35 | ||||||
27-Feb | Postage stamps purchased | 53 | 60.35 | |||||
Merchandise invnetory – transportation-in | ||||||||
9-Feb | Purchases are subject to COD fees | 38.5 | ||||||
25-Feb | Purchases are subject to COD fees | 11.5 | 50 | |||||
Office supplies expense | ||||||||
5-Feb | Copier paper purchased | 14.55 | ||||||
20-Feb | Stationery purchased | 66.77 | 81.32 | |||||
total | 271.67 | |||||||
Date | General Journal | Debit | Credit | |||||
28-Feb | Delivery cost | 15 | ||||||
Mileage expense | 65 | |||||||
postage expense | 60.35 | |||||||
Merchandise inventory | 50 | |||||||
office supplies expense | 81.32 | |||||||
Cash over and short | 42.66 | |||||||
Cash. | 314.33 | |||||||
28-Feb | Petty cash | 150 | ||||||
Csh | 150 |
Conclusion
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