How journal entries for the imprest petty cash system are recorded?

Banking & FinanceFinance ManagementGrowth & Empowerment

The journal entries for imprest petty cash system are recorded as follows −

Fund establishment − (Imprest petty cash fund = 150)

AccountDebitCredit
Petty cash
150


Cash


150
Total
150
150

Payments− (Postage payment = 35, stationery payment = 50)

AccountStartEnd
Cash held
150
65
Postage payment


35
Stationery payment


50
Total
150
150

Fund replenished − (Postage payment = 35, stationery payment = 50)

AccountDebitCredit
cash


85
Postage payment
35


Stationery payment
50


Total
85
85

Errors − (Postage payment = 25, stationery payment = 50, error = 10)

AccountDebitCredit
cash


85
Postage payment
25


Stationery payment
50


Sundry expenses
10


Total
85
85

Increase in petty cash − (Increased petty cash = 50)

AccountDebitCredit
Petty cash
50


Cash


50
Total
50
50
raja
Published on 09-Jul-2021 13:14:29
Advertisements