Question

The following selected transactions relate to cash collections for a firm that uses a cash register. Present entries to record the transactions for each of the two days of cash receipts from sales.

a. Actual cash in cash register, $5,353; cash receipts per cash register tally, $5,373 on December 31.
b. Actual cash in cash register, $3,712.95; cash receipts per cash register tally, $3,712.16.

Answer 1

A.

Dr Cash 5,353

Dr Cash Short and Over 20

Cr Sales 5,373

B.

Dr Cash 3,712.95

Cr Cash Short and Over 0.79

Cr Sales 3,712.16

Step-by-step explanation:

Presentation of the entries to record the transactions for each of the two days of cash receipts from sales.

(a) Since we were told that the Actual cash in cash register was the amount of $5,353 while the cash receipts per cash register tally was the amount of $5,373 on December 31 this means the transaction will be recorded as:

Dr Cash 5,353

Dr Cash Short and Over 20

(5,373-5,353)

Cr Sales 5,373

(b) Since we were told that the Actual cash in cash register was the amount of $3,712.95 while the cash receipts per cash register tally was the amount of $3,712.16 this means that the transaction will be recorded as:

Dr Cash 3,712.95

Cr Cash Short and Over 0.79

(3,712.95-3,712.16)

Cr Sales 3,712.16