GL0601 - Based on Problem 6-2A LO P2

Martin Co. set up a petty cash fund for payments of small amounts. The following transactions involving the petty cash fund occurred in May.

May1Prepared a company check for $350 to establish the petty cash fund.May15Prepared a company check to replenish the fund for the following expenditures made since May 1.a. Paid $109 for janitorial services.b. Paid $82 for miscellaneous expenses.c. Paid postage expenses of $54.d. Paid $27 to Facebook for advertising expense.e. Counted $89 remaining in the petty cash box.May16Prepared a company check for $150 to increase the fund to $500.May31The petty cashier reports that $200 cash remains in the fund. A company check is drawn to replenish the fund for the following expenditures made since May 15.f. Paid postage expenses of $172.g. Reimbursed the office manager for business mileage, $86.h. Paid $28 to deliver merchandise to a customer, terms FOB destination.May31The company decides that the May 16 increase in the fund was too large. It reduces the fund by $120, leaving a total of $380.

• Requirement
• General Journal
• General Ledger
• Trial Balance
• Impact on Income

General Journal tab-Prepare the necessary journal entries.

General Ledger and Trial balance tabs-Review the general ledger and trial balance tabs.

Impact on Net Income tab-Calculate the impact each entry had on net income, if any.