A Petty Cash Fund Was Established with a $500 Balance

question 8

Multiple Choice

A petty cash fund was established with a $500 balance. It currently has cash of $19 and petty cash tickets as shown below. Which of the following would be the journal entry to replenish the Petty Cash account?

• A)debit to Cash Short & Over for $1
• B)credit Cash Short & Over for $1
• C)debit Petty Cash $1
• D)credit Petty Cash $1

---

Definitions:

Average Costs

The total cost of production divided by the total quantity produced, often used to determine profitability at various levels of output.

Product Costs

Product costs are the costs directly associated with the production of goods, including direct materials, direct labor, and manufacturing overhead.

Financial Reporting

The process of disclosing financial information and statements by businesses to shareholders and the public.

Variable Cost

Charges that adjust in line with the production levels or the quantity of sales.