Problem Set A

LO 8.5On September 1, French company has decided to initiate a petty cash fund in the amount of $800. Prepare journal entries for the following transactions:

1. On September 5, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $37, Supplies $124, Postage Expense $270, Repairs and Maintenance Expense $168, Miscellaneous Expense $149. The cash on hand at this time was $48.
2. On September 14, the petty cash fund needed replenishment and the following are the receipts: Auto Expense $18, Supplies $175, Postage Expense $50, Repairs and Maintenance Expense $269, Miscellaneous Expense $59. The cash on hand at this time was $210.
3. On September 23, the petty cash fund needed replenishment and the following are the receipts: Auto Expense $251, Supplies $88, Postage Expense $63, Repairs and Maintenance Expense $182, Miscellaneous Expense $203. The cash on hand at this time was $20.
4. On September 29, the company determined that the petty cash fund needed to be increased to $1,000.
5. On September 30, the petty cash fund needed replenishment as it was month end. The following are the receipts: Auto Expense $18, Supplies $15, Postage Expense $57, Repairs and Maintenance Expense $49, Miscellaneous Expense $29. The cash on hand at this time was $837.

LO 8.5On May 2 Kellie Company has decided to initiate a petty cash fund in the amount of $1,200. Prepare journal entries for the following transactions:

1. On July 5, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $125, Supplies $368, Postage Expense $325, Repairs and Maintenance Expense $99, Miscellaneous Expense $259. The cash on hand at this time was $38.
2. On June 14, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $425, Supplies $95, Postage Expense $240, Repairs and Maintenance Expense $299, Miscellaneous Expense $77. The cash on hand at this time was $80.
3. On June 23, the petty cash fund needed replenishment, and the following are the receipts: Auto Expense $251, Supplies $188, Postage Expense $263, Repairs and Maintenance Expense $182, Miscellaneous Expense $203. The cash on hand at this time was $93.
4. On June 29, the company determined that the petty cash fund needed to be decreased to $1,000.
5. On June 30, the petty cash fund needed replenishment as it was month-end. The following are the receipts: Auto Expense $114, Supplies $75, Postage Expense $50, Repairs and Maintenance Expense $121, Miscellaneous Expense $39. The cash on hand at this time was $603.

LO 8.5Domingo Company started its business on January 1, 2019. The following transactions occurred during the month of May. Prepare the journal entries in the journal on Page 1.

1. The owners invested $10,000 from their personal account to the business account.
2. Paid rent $500 with check #101.
3. Initiated a petty cash fund $500 with check #102.
4. Received $1,000 cash for services rendered.
5. Purchased office supplies for $158 with check #103.
6. Purchased computer equipment $2,500, paid $1,350 with check #104, and will pay the remainder in 30 days.
7. Received $800 cash for services rendered.
8. Paid wages $600, check #105.
9. Petty cash reimbursement: office supplies $256, maintenance expense $108, postage expense $77, miscellaneous expense $55. Cash on hand $11. Check #106.
10. Increased petty cash by $30, check #107.

LO 8.5Prepare a trial balance using the journal entries in Exercise 8.3.

LO 8.5Inner Resources Company started its business on April 1, 2019. The following transactions occurred during the month of April. Prepare the journal entries in the journal on Page 1.

1. The owners invested $8,500 from their personal account to the business account.
2. Paid rent $650 with check #101.
3. Initiated a petty cash fund $550 check #102.
4. Received $750 cash for services rendered.
5. Purchased office supplies for $180 with check #103.
6. Purchased computer equipment $8,500, paid $1,600 with check #104 and will pay the remainder in 30 days.
7. Received $1,200 cash for services rendered.
8. Paid wages $560, check #105.
9. Petty cash reimbursement office supplies $200, Maintenance Expense $140, Miscellaneous Expense $65. Cash on Hand $93. Check #106.
10. Increased Petty Cash by $100, check #107.

LO 8.5Prepare a trial balance using the journal entries in Exercise 8.5.

LO 8.6Identify where each of the following transactions would be found on the bank reconciliation.

LO 8.6Which of the following transactions will require a journal entry? Indicate if it will be a debit or a credit and to what account the entry will be recorded.

LO 8.6Domingo Company received the following bank statement. Using Exercise 8.3, prepare the bank reconciliation.

LO 8.6Prepare the journal entry required to reconcile the book balance to the bank balance.

LO 8.6Inner Resources Company received the following bank statement. Using the information from Exercise 8.5 and Exercise 8.6, prepare the bank reconciliation.

LO 8.6Prepare the journal entry required to reconcile the book balance to the bank balance.