Question

At the end of business on September 1, the total displayed on the cash register tape shows $1,059 of cash sales for the day. However, when the clerk and the supervisor count the cash in the register, the count reveals that $1,050 was actually collected from customers.

Required:
Write down the journal entry.

Answer 1

Answer and Explanation:

The journal entry is shown below:

Cash $1,050

Cash short and over $9

Sales revenue $1,059

(Being the cash collection is recorded)

Here we debited the cash as it increased the assets and credited the sales revenue as it also increased the revenue and the difference is debited to cash short and over