Answer:(1) Dr: petty cash $350, Cr: Cash $350, (2) Total delivery expense $16, Total Milleage expense $71, Total postage expense $65.55, Total merchandise inventory( Transportation -in) $42.4, Total office supplies $81.32, Petty Cash Balance $204.67 (3) a) Dr : Expenses $326.29, Cr : Cash $326.39 (b) Dr: petty cash $490, Cr: Cash $490
Explanation:
Journal entry to establish the petty cash fund
Dr : petty cash $350
Cr: : Cash $350
Journal entry to record the reimbursement
Dr : Expenses $326.39
Cr: Cash $326.39
Journal entry to record the increase in fund amount
Dr:petty cash $490
Cr: cash $490
Total delivery expenses $16
Total mileage expenses $71
Total postage expenses $65.55
Total merchandise inventory (Transportation -in) $42.4
Total office supplies $81.32
Amount received for reimbursement $326.39
Petty Cash Balance $204.67
