Use the Following Information to Answer Questions $€ 350$ To the Custodian of the Petty Cash Fund

question 103

Multiple Choice

Use the following information to answer questions . On October 2, 2011, Bienvenu Manufacturing Company established a petty cash fund by issuing a check for $€ 350$ to the custodian of the petty cash fund. On October 31, 2011, The custodian submitted the following paid petty cash vouchers for replenishment of the petty cash fund when there is $€ 15$ cash in the fund:
$\begin{array} { l r } \text { Freight-in } & € 145 \\ \text { Office Supplies Expense } & 55 \\ \text { Entertainment of clients } & 89 \\ \text { Postage Expense } & 50 \end{array}$
-The journal entry to replenish the account would include

• A)debit to Cash Over and Short for \(€ 4\).
• B) \(\quad\) credit to Cash Over and Short for \(€ 4\).
• C) debit to petty Cash for \(€ 339\).
• D) \(\quad\) credit to cash for \(€ 350\).

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Definitions:

Expenses

are the costs incurred in the operation of a business or the execution of a project, including money spent on goods, services, and other necessary items.

Return on Equity

A financial ratio measuring the profitability of a company expressed as a percentage of equity, indicating how effectively a company uses its equity investments to generate profits.

Total Assets

The sum of all assets owned by a company, including both current and fixed assets, giving an overview of the company's financial health.

Sales

The exchange of a commodity for money; the action of selling something.