Question

Jeremiah Restoration Company completed the following selected transactions during January: Jan. 1. Established a petty cash fund of $730. 12. The cash sales for the day, according to the cash register records, totaled $12,146. The actual cash received from cash sales was $12,171. 31. Petty cash on hand was $133. Replenished the petty cash fund for the following disbursements, each evidenced by a petty cash receipt: Jan. 3. Store supplies, $392. 7. Express charges on merchandise sold, $31 (Delivery Expense). 9. Office supplies, $19. 13. Office supplies, $20. 19. Postage stamps, $14 (Office Supplies). 21. Repair to office file cabinet lock, $13 (Miscellaneous Administrative Expense). 22. Postage due on special delivery letter, $30 (Miscellaneous Administrative Expense). 24. Express charges on merchandise sold, $51 (Delivery Expense). 30. Office supplies, $7. Jan. 31. The cash sales for the day, according to the cash register records, totaled $18,539. The actual cash received from cash sales was $18,503. 31. Decreased the petty cash fund by $90. Journalize the transactions. Refer to the Chart of Accounts for exact wording of account titles.

Answer 1

Date	Accounts Titles and Explanation	Debit	Credit
Jan. 1	Petty Cash	$ 730
	Cash		$ 730
	(To record establishment of petty cash fund)
Jan-12	Cash	$ 12,171
	Cash Short and Over   - Bal. Fig		$ 25
	Sales		$ 12,146
	(To record cash sales)
Jan-31	Store Supplies	$ 392
	Delivery Expense ( $ 31 + $ 51 )	$ 82
	Office Supplies ( $ 19 + $ 20 + $ 14 + $ 7 )	$ 60
	Miscellaneous Administrative Expense ( $ 13 + $ 30 )	$ 43
	Cash Short and Over - Bal. Fig	$ 20
	Cash                   ( $ 730 (-) $ 133 )		$ 597
	(To record disbursements of petty cash funds)
Jan-31	Cash	$ 18,503
	Cash Short and Over   - Bal. Fig.	$ 36
	Sales		$ 18,539
	(To record establishment of petty cash fund)
Jan-31	Cash	$ 90
	Petty Cash		$ 90
	(To record decrease of petty cash fund)