1. Project 1

1.19. Page 4

Training Room 5: Petty Cash

Training Room 5: Petty Cash

 

Time to Work

 

There are two assignments that you must complete for assessment. There is also an optional assignment. Please check with your teacher to see if you need to complete the optional assignment.

 

Assignment 1

 

 

Complete Training Room 5 Assignment 1.

 

 

 

Assignment 2

 

 

 


  1. Open General Journal Template, and save the form in your Course Folder as pr1-tr5-2.

  2. Use the account titles from the chart of accounts below:


    Microsoft product screen shot(s) reprinted with permission from Microsoft Corporation.
  1. Journalize the following transactions on page 2 of a general journal.

Transactions for July of the current year are below. The numbers in Column 1 refer to the day of the month.

 

July

Transactions

1

Establish a petty-cash fund, $200.00

1

Paid $2000 for rent, Cheque #100

5

Received $1000 for sales, Receipt #20

7

Paid $1500 to F. Fisher for amount owed, Cheque #101

8

Received $3500 for sales, Receipt #21

10

Paid $500 to repair store equipment, Cheque #102

10

Paid $400 for utilities, Cheque #103

11

Owner withdrew $300.00 for personal use, Cheque #104

16

Owner invested $3000 in the business, Receipt #22

21

Sold old store equipment for $1000, Receipt #23

25

Purchased supplies for $200.00, Cheque #105

29

Received $2000.00 from sales, Receipt #24

31

Replenished the petty-cash fund. There was $23.50 cash in the petty-cash box.

 

Use the following vouchers for the month:

  • Withdrew $50.00 for lunch with a client, Voucher #1 
  • Repairs to equipment for $75.00, Voucher #2 
  • Bought supplies for $50.00, Voucher #3 

 

 

 

Assignment 3 (Optional )

 

 

Check with your teacher before you attempt this optional assignment.

  1. Open General Journal Template, and save the form in your Course Folder as pr1-tr4-3.

  2. Use the account titles from the chart of accounts below:


    Microsoft product screen shot(s) reprinted with permission from Microsoft Corporation.
  1. Journalize the following transactions on page 7 of a general journal.

Transactions are for May of the current year. The numbers in Column 1 refer to the day of the month.

 

1

Establish a petty-cash fund, $250.00

1

Paid $1500.00 rent for May, Cheque #200

2

Received $20 000.00 for dental services, Receipt #111

8

Received $50 000.00 for Accounts Receivable, Receipt #112

10

Bought new office equipment for $5000.00, Cheque #201

14

Paid $25 000.00 to the bank on amount owed, Cheque #202

15

Charged Accounts Payable $1500.00 for dental equipment, Purchase Order #15

20

Owner withdrew $2000.00, Cheque #203

22

Paid utilities of $850.00, Cheque #204

23

Bought new office chairs for $5000.00, Cheque #205

29

Purchased a new computer for $5000.00, Cheque #206

30

Paid salaries of $10 000.00, Cheque #207

31

Replenished the petty-cash fund. There was $85.50 cash in the petty-cash box.

 

Use the following vouchers for the month:

  • Withdrew $100.00 for personal use, Voucher #10 
  • Repairs to equipment of $50.00, Voucher #11 
  • Postage for mail of $15.00, Voucher #12

 

A Canadian dollar puzzle and magnifier.

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Training Room 5 Summary

 

In this training room you established a petty-cash fund, journalized daily transactions, and replenished the petty-cash fund at the end of the month. You should now be more aware of the various ethical issues surrounding the recording of petty cash to the accounting records of a business.

 

The next training room will show you how to post these entries to the ledger, so you know how much money remains in each account.