Question

A $53 petty cash fund has cash of $24 and receipts of $37. The journal entry to replenish the account would include a

A. credit to Petty Cash for $37
B. credit to Cash for $53
C. credit to Cash Short and Over for $8
D. debit to Cash for $24

Answer 1

correct option is C. credit to Cash Short and Over for $8

Step-by-step explanation:

given data

petty cash = $53

cash = $24

receipts = $37

solution

here credit to cash over and short that is

cash over and short = cash + receipts - petty cash .......................1

put here vale and we will get

cash over and short = $24 + $37 - $53

cash over and short = $8

so here correct option is C. credit to Cash Short and Over for $8