A Petty Cash Fund of $100 Is Replenished When the Fund

question 118

Multiple Choice

A petty cash fund of $100 is replenished when the fund contains $4 in cash and receipts for $93.The entry to replenish the fund would

• A)credit Cash Over and Short for $3.
• B)credit Miscellaneous Revenue for $3.
• C)debit Cash Over and Short for $3.
• D)debit Miscellaneous Expense for $3.

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Definitions:

Retained Earnings

Retained earnings are the portion of a company's profits that are kept or retained within the company for reinvestment in business operations, rather than being paid out as dividends to shareholders.

Retained Earnings

The portion of a company’s profits that is kept or retained and not paid out as dividends to shareholders, often used for reinvestment.

Cumulative Net Income

The total amount of net income earned by a company over a specified period, typically since its inception.

Dividends Declared

The announcement by a company's board of directors of the issuance of dividends to shareholders.