Question - Marigold, Inc. decided to establish a petty cash fund to help ensure internal control over its small cash expenditures. The following information is available for the month of April.
1. On April 1, it established a petty cash fund in the amount of $249.
2. A summary of the petty cash expenditures made by the petty cash custodian as of April 10 is as follows.
Delivery charges paid on merchandise purchased $74
Supplies purchased and used 39
Postage expense 47
I.O.U. from employees 31
Miscellaneous expense 50
The petty cash fund was replenished on April 10. The balance in the fund was $2.
3. The petty cash fund balance was increased by $114 to $363 on April 20.
Prepare the journal entries to record transactions related to petty cash for the month of April.