Additional question: Does this problem need to do adjusting entries for the returned check (NSF)?? If yes, show your solution.

PROBLEM 8-8 Petty Cash Fund As part of your engagement to audit the financial statements of ABC Company for the year ended December 31,2018 , you were assigned to verify the petty cash fund and the cash on hand in the morning of January 3,2019 . You began to count at 9:00 A.M. in the presence of W. Ally, the petty cash custodian. In the course of your counting, you found the following items: Bills: C. 10 two hundreds, 20 one hundreds, 40 twenties Note: Jose Manalo's check was returned on December 29, 2018 for insufficiency of fund. Unused stamps: Various denominations P50.00 Additional information: 1. The balance of petty cash fund per books is P12,000. 2. Cash sales of January 2, 2019 amounted to P8,000 per sales records, while cash receipts book and deposit slip showed that only P6,600 was deposited in the bank on January 3, 2019. 3. The following employees' pay envelopes have been opened and the money removed. Each envelope was marked "unclaimed." D.BillG.NgP400P200 G. Ng Required: 1. Prepare working papers showing your cash count. 2. Prepare necessary adjusting journal entries as of December 31, 2018. 3. Determine the amount at which the Petty Cash Fund will be stated in the statement of financial position as of December 31, 2018. PROBLEM 8-8 Petty Cash Fund As part of your engagement to audit the financial statements of ABC Company for the year ended December 31,2018 , you were assigned to verify the petty cash fund and the cash on hand in the morning of January 3,2019 . You began to count at 9:00 A.M. in the presence of W. Ally, the petty cash custodian. In the course of your counting, you found the following items: Bills: C. 10 two hundreds, 20 one hundreds, 40 twenties Note: Jose Manalo's check was returned on December 29, 2018 for insufficiency of fund. Unused stamps: Various denominations P50.00 Additional information: 1. The balance of petty cash fund per books is P12,000. 2. Cash sales of January 2, 2019 amounted to P8,000 per sales records, while cash receipts book and deposit slip showed that only P6,600 was deposited in the bank on January 3, 2019. 3. The following employees' pay envelopes have been opened and the money removed. Each envelope was marked "unclaimed." D.BillG.NgP400P200 G. Ng Required: 1. Prepare working papers showing your cash count. 2. Prepare necessary adjusting journal entries as of December 31, 2018. 3. Determine the amount at which the Petty Cash Fund will be stated in the statement of financial position as of December 31, 2018