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Home > Business & Careers > Accounting   »   journalizing petty cash

 
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Old Jan 25, 2007, 05:49 AM
jackveg
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journalizing petty cash

The company established a pettty cash fund from can withdrawn from its checking account. The entries must be journalized. Here is an example:

May 1------Petty cash established at $100.

May 28-----The petty cash fund has $25 remaining and is replenished. Expenditures from the the fund for July were: $40 office supplies, $20 postage, and $15 misc.

June 30-----The petty cash fund has $35 remaining and is replenished. Expenditure from the fund for June were: $30 office supplies, $25 postage, and $10 misc.

The question is: Do I Journal May and June on the same ledger or should it be separated (on another ledger)? Also, do I show the petty cash of $100 on both ledgers if it is separated?

Need emergency answer please!

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