Waupaca Company establishes a $330 petty cash fund on September 9. On September 30, the fund shows $76 in cash along with receipts for the following expenditures:
Transportation-in, $53;
Postage expenses, $76;
Miscellaneous expenses, $123.
The petty cashier could not account for a $2 shortage in the fund. The company uses the perpetual system in accounting for merchandise inventory.
In the tables below, complete the information in order to prepare the journal entries for (1) the September 9 entry to establish the fund, (2) the September 30 entry to reimburse the fund, and (3) an October 1 entry to increase the fund to $375.
Use the following for the account names, as appropriate, for your journal entries. Do not forget to type them exactly as they are here:
Petty cash
Cash
Merchandise inventory
Postage expense
Miscellaneous expenses
Cash over and short
