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(Solved): Please check and make sure I have the right answer selected, TYIA. When the petty cash fund is reple ...
Please check and make sure I have the right answer selected, TYIA.
When the petty cash fund is replenished: Multiple Choice Cash is debited. Petty Cash is credited. Petty Cash is debited. Approprlate expense and/or asset accounts are debited.
Expert Answer
When the petty cash fund is replenished, the appropriate entry involves debiting the various expense and/or asset accounts for which the petty cash was used. Additionally, cash is also debited to reflect the decrease in the cash on hand. The replenishment of the petty cash fund is typically done by reimbursing the custodian of the fund for the expenditures made from the petty cash. This is done by providing the custodian with additional cash to bring the petty cash fund back to its original balance.