Hi. Can I ask for the correct answer and complete solution of both number 1 and 2? Thank you for your support in my studies. On December 1, 2021, Andi Company established a petty cashfund of P50,000. On December 31, 2021, the netty cash fundwas examined and found to comprise the followinginformation:Coins and currenciesPetty cash vouchers for expenses6,00046,000The petty cash fund was replenished on December 31, 2021.1. What amount should be reported as cash shortage or cashoverage?a. 2,000 overb. 2,000 shortc. 4,000 shortd.2. What entry should Andi Company make on December31, 2021 to record the replenishment of petty cash fund?a. Petty cash46,000Cash in bankCash short and over44,0002,000b. Miscellaneous expensesCash in bankCash short and over46,00044,0002,000c. Miscellaneous expensesCash short and overCash in bank44,0002,00046,000d. Miscellaneous expensesPetty cashCash short and over46,00044,0002,000

The petty cash fund is maintained by the company for the day to day expenses of the business.

On December 1, 2021, Andi Company established a petty cash fund of P50,000. On December 31, 2021, the netty cash fund was examined and found to comprise the following information: Coins and currencies Petty cash vouchers for expenses 6,000 46,000

On December 1, 2021, Andi Company established a petty cash fund of P50,000. On December 31, 2021, the netty cash fund was examined and found to comprise the following information: Coins and currencies Petty cash vouchers for expenses 6,000 46,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter8: Fraud, Internal Controls, And Cash

Section: Chapter Questions

Problem 1PA: On September 1, French company has decided to initiate a petty cash fund in the amount of $800....

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Question

Hi. Can I ask for the correct answer and complete solution of both number 1 and 2? Thank you for your support in my studies.

On December 1, 2021, Andi Company established a petty cash
fund of P50,000. On December 31, 2021, the netty cash fund
was examined and found to comprise the following
information:
Coins and currencies
Petty cash vouchers for expenses
6,000
46,000
The petty cash fund was replenished on December 31, 2021.
1. What amount should be reported as cash shortage or cash
overage?
a. 2,000 over
b. 2,000 short
c. 4,000 short
d.
2. What entry should Andi Company make on December
31, 2021 to record the replenishment of petty cash fund?
a. Petty cash
46,000
Cash in bank
Cash short and over
44,000
2,000
b. Miscellaneous expenses
Cash in bank
Cash short and over
46,000
44,000
2,000
c. Miscellaneous expenses
Cash short and over
Cash in bank
44,000
2,000
46,000
d. Miscellaneous expenses
Petty cash
Cash short and over
46,000
44,000
2,000

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