Question

There are several reasons why the petty cash fund would experience a shortage or an overage. Determine which of the actions below would result in a shortage or an overage in the petty cash fund. (Check all that apply.)a. The petty cashier overpaid for the amount due.b. The company cashier reduced the petty cash accountc. The petty cashier failed to get a receipt for payment.d. A person receiving disbursement from the fund failed to return change from a transaction.The petty cashier overpaid for the amount due.

Answer 1

Answer:

The petty cashier failed to get a receipt for payment.

Explanation:

The account Cash Short and Over is an income statement account (within a company's general ledger) in which shortages or overages of cash are recorded. The Cash Short and Over account might be used by A company to record unexplained differences arising when a company's petty cash fund is replenished.

When it is necessary to replenish the petty cash fund, the petty cashier prepares a statement of payments. Cash usually means only currency and coins. A special ledger account entitled "Change Fund" is used to keep track of day-to-day shortages and overages of cash.