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Anon25 [30]
3 years ago
8

Meng Co. maintains a $300 petty cash fund. On January 31, the fund is replenished. The accumulated receipts on that date represe

nt $80 for office supplies, $160 for merchandise inventory, and $20 for miscellaneous expenses. There is a cash shortage of $8.
Based on this information, the amount of cash in the fund before the replenishment is:

a) $300. b) $260. c) $40. d) $48. e) $32.
Business
1 answer:
Alona [7]3 years ago
3 0

Answer: The correct answer is e) $32.

Explanation:

Petty cash fund. $300

Office supplies. (80)

Merchandise inventory. (160)

Miscellaneous expenses. (20)

Cash shortage. (8)

Balance in petty cash. $32

In terms of accounting entries,

Debit Office supplies. $80

Debit Merchandise inventory. $160

Debit Miscellaneous expenses. $20

Debit Cash shortage. $8

Credit Petty cash refund. $268

In the above entries, $268 would be refunded to petty cash fund to reinstate it to $300.

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What is a depository institution?
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Inacio Corporation uses the weighted-average method in its process costing system. Data concerning the first processing departme
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$17.97 per unit

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If a firm borrows ​$8 comma 000 from households at an annual interest rate of 6 ​percent, how much will the firm pay in interest
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The firm will pay 480 dollars each year as interest payment.

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