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Friday, August 6, 2010

Valix Finacc vol 1 Problem 3-10

Financial Accounting Volume 1 2008 Valix-Peralta
Chapter 1 Problem 3-10


Fluctuating Fund System                                 Imprest Fund System


May  2  Petty cash fund                   10,000                     May   2  Petty cash fund                10,000
                  Cash in bank                                     10,000                          Cash in bank                                10,000

        29  Postage                                   1,000                               29  Postage                                1,000
               Supplies                                   3,000                                      Supplies                               3,000
               Transportation                       2,500                                      Transportation                    2,500
               Miscellaneous expense     1,500                                     Miscellaneous expense   1,500
                   Petty cash fund                                 8,000                           Petty cash fund                             8,000

                                                                                                                  Petty cash fund                  8,000
                                                                                                                      Cash in bank                                  8,000

June 30  Supplies                               2,000                      June 30  Supplies                                 2,000
                Accounts payable            1,000                                      Accounts payable              1,000
                 Transportation                  1,000                                      Transportation                      1,000
                     Petty cash fund                             4,000                         Petty cash fund                                4,000

July     1  Petty cash fund                 4,000
                    Supplies                                            2,000
                    Postage                                            1,000
                    Transportation                                                1,000

                  To reverse the adjustment made
                  on June 30.

            15  Petty cash fund               5,000                     July 15   Supplies                                                1,500
                  Supplies                              3,500                                     Postage                                   500
                  Postage                              1,500                                     Transportation                       500
                  Transportation                  1,500                                     Miscellaneous expense     500
                  Miscellaneous expense    500                                          Petty cash fund                             3,000
                     Cash in bank                                  12,000
                                                                                                                Petty cash fund               12,000
                                                                                                                    Cash in bank                               12,000

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