On September 1, 2020, Walls Company establishes a petty cash fund by issuing a check for $100 to Andrew Liu, the custodian of the petty cash fund. On September 19, 2020, Andrew Liu submitted the following paid petty cash vouchers: Freight-In $22 Supplies Expense $13 Entertainment of Clients $37 Postage Expense $19 The fund was replenished on September 19, 2020 when there is $7 cash in the fund and the company decided to raise the fund to $150.   Prepare the journal entries required to establish the petty cash fund on September 1 and the replenishment of the fund on September 19.

1. On September 1, 2020, Walls Company establishes a petty cash fund by issuing a check
for $100 to Andrew Liu, the custodian of the petty cash fund. On September 19, 2020,
Andrew Liu submitted the following paid petty cash vouchers:
Freight-In $22
Supplies Expense $13
Entertainment of Clients $37
Postage Expense $19
The fund was replenished on September 19, 2020 when there is $7 cash in the fund and
the company decided to raise the fund to $150.
 
Prepare the journal entries required to establish the petty cash fund on September 1
and the replenishment of the fund on September 19.
2. The petty cash fund was established on April 10, 2020, in the amount of $300. These are
the following expenditure made by petty cash custodian:
Postage expense $27
Mailing labels and other supplies $75.25
I.O.U from employees $25
Shipping charges (to customer) $47.50
Newspaper advertising $33
Miscellaneous expense $47.25
On April 30, 2020 the petty cash fund was reimbursed when the cash in the fund is at
$25. Prepare the journal entries for the establishment of the fund and the
reimbursement.
3. Fortune Company was established petty cash as an internal control on January 1, with a
$250 balance. On January 16, Betty Miller replenished the petty cash by writing a check
for $100. The petty cash fund used for the following transaction:
$12 was spent on office supplies
$23 on food expense
$71 on delivery charged
On January 20, Fortune Company increased the amount of petty cash fund for $75.
Prepare the journal entries for the petty cash transactions.