Read the information below and respond to the prompts that follow. Complete this
ID: 2464329 • Letter: R
Question
Read the information below and respond to the prompts that follow. Complete this in Excel and submit. Beard Gallery had the following petty cash transactions in February of the current year: 2/2 Wrote a $300 check, cashed it, and gave the proceeds and the petty cashbox to Reggie Gore, the petty cashier. 2/5 Purchased bond paper for the copier that was immediately used for $14.55. 2/9 Paid $32.50 COD shipping charges on merchandise purchased for resale, terms FOB shipping point. Beard uses the perpetual system to account for merchandise inventory 2/12 Paid $7.85 postage to express mail a contract to a client. 2/14 Reimbursed Jonny Carr, the manager, $66 for business mileage on her car. 2/20 Purchased stationery that was immediately used for $67.67. 2/23 Paid a courier $23 to deliver merchandise sold to a customer, terms FOB destination. 2/25 Paid $10.30 COD shipping charges on merchandise purchased for resale, terms FOB shipping point. 2/27 Paid $55 for postage expenses. 2/28 The fund had $20.82 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. 2/28 The petty cash fund amount is increased by $100 to a total of $400. Required 1. Prepare the journal entry to establish the petty cash fund. 2. Prepare a petty cash payments report for February with these categories: delivery expense, mileage expense, postage expense, merchandise inventory (for transportation-in), and office supplies expense. Sort the payments into the appropriate categories and total the expenditures in each category. Round your answers to two decimal places. Omit the "$" sign in your response. 3. Prepare the journal entries for part 2 to both reimburse and increase the fund amount. Round your answers to two decimal places. Omit the "$" sign in your response
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Date Account Title and explanation Debit ($) Credit ($) 02-Feb Petty Cash 300 Cash 300 (petty cash fund established)Related Questions
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