This document discusses establishing, making payments from, and replenishing a petty cash fund. It provides instructions and examples for recording transactions in a petty cash journal. To establish a petty cash fund, the petty cash account is debited for the amount and cash is credited. Payments are made by filling out a petty cash slip. To replenish the fund, appropriate expense accounts are debited and petty cash is credited for the amount.

1. CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
LESSON 5-4LESSON 5-4
Petty Cash

2. 2
LESSON 5-4CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
ESTABLISHING A PETTY CASH FUNDESTABLISHING A PETTY CASH FUND
1. Date. Write the date.
page 134
August 19. Paid cash to establish a petty cash fund, $100.00.
Check No. 8.
11 33
44
22
2. Debit. Write the title of the account to be debited.
Record the amount debited.
3. Credit. Record the amount credited.
4. Source document. Write the source document
number.

3. 3
LESSON 5-4CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
MAKING PAYMENTS FROM A PETTYMAKING PAYMENTS FROM A PETTY
CASH FUND WITH A PETTY CASH SLIPCASH FUND WITH A PETTY CASH SLIP page 135

4. 4
LESSON 5-4CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
REPLENISHING PETTY CASHREPLENISHING PETTY CASH
1. Date. Write the date.
page 136
11
44
33
August 31. Paid cash to replenish the petty cash fund, $30.00:
miscellaneous expense, $20.00; advertising, $10.00. Check No. 12.
22
4. Source document. Write the source document number.
3. Credit. Record the amount credited.
2. Debit. Write the title of the first account to be debited. Write the
amount to be debited. Write the title of the second account to be
debited. Record the amount to be debited.

5. 5
LESSON 5-4CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
TERMS REVIEWTERMS REVIEW
 petty cash
 petty cash slip
page 138

6. 5
LESSON 5-4CENTURY 21 ACCOUNTING © 2009 South-Western, Cengage Learning
TERMS REVIEWTERMS REVIEW
 petty cash
 petty cash slip
page 138