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Question - On February 10, this year, the company established a $400 petty cash fund. We use perpetual inventory system. At the end of February, the petty cash fund contained:
- Cash on hand $54.30
- Petty cash tickets for
- Transportation In $115.32
- Office supplies 74.24
- Coffee supplies 26.52
- Computer paper 99.25
- Lunch for meeting 28.46
Part A - Prepare the journal entry to establish the petty cash fund on February 10.
Part B - Prepare the journal entry, at the end of February, to replenish the petty cash fund.
Part C - Prepare the journal entry to increase the petty cash by $50 to be $450 now.
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