Havermill Co. establishes a $250 petty cash fund on September 1. On September 30, the fund is replenished. The accumulated receipts on that date represent $73 for Office Supplies, $137 for merchandise inventory, and $22 for miscellaneous expenses. The fund has a balance of $18. On October 1, the accountant determines that the fund should be increased by $50. The journal entry to record the reimbursement of the fund on September 30 includes a:
Signature cards, deposit tickets, checks, and bank statement…
Signature cards, deposit tickets, checks, and bank statements are all examples of internal control devices for banking activities.
The amount due on the maturity date of a $6,000, 60-day 4%,…
The amount due on the maturity date of a $6,000, 60-day 4%, note receivable is: (Use 360 days a year.)
No attempt is made to estimate bad debts expense under the a…
No attempt is made to estimate bad debts expense under the allowance method of accounting for uncollectible accounts receivable.
In a perpetual inventory system, the Merchandise Inventory a…
In a perpetual inventory system, the Merchandise Inventory account must be closed at the end of the accounting period.
Havermill Co. establishes a $250 petty cash fund on Septembe…
Havermill Co. establishes a $250 petty cash fund on September 1. On September 30, the fund is replenished. The accumulated receipts on that date represent $73 for Office Supplies, $137 for merchandise inventory, and $22 for miscellaneous expenses. The fund has a balance of $18. On October 1, the accountant determines that the fund should be increased by $50. The journal entry to record the reimbursement of the fund on September 30 includes a:
When a petty cash fund is in use:
When a petty cash fund is in use:
Valley Spa purchased $7,800 in plumbing components from Tubm…
Valley Spa purchased $7,800 in plumbing components from Tubman Co. Valley Spa Studios signed a 60-day, 10% promissory note for $7,800. If the note is dishonored, what is the amount due on the note? (Use 360 days a year.)
A company using the percentage of sales method for estimatin…
A company using the percentage of sales method for estimating bad debts has sales of $350,000 and estimates that 1.0% of its sales are uncollectible. The estimated amount of bad debts expense is $3,500.
All of the following are considered effective cash managemen…
All of the following are considered effective cash management principles except: