Question

how would you journalize the establishment of a petty cash fund?
debit cash and credit petty cash
debit expenses and credit cash
debit petty cash and credit cash
debit petty cash and credit capital
question 18
choose the answer.
when should you replenish a petty cash fund?
every week
at the end of the month
when it has reached a certain dollar amount
both b and c

Explanation:

When establishing a petty cash fund, the petty cash account (an asset) increases (debited) and the cash account (another asset) decreases (credited). For replenishing a petty cash fund, it is typically done at the end of an accounting period (like the month - end) or when the fund reaches a certain low amount.

Answer:

For the journalizing question: debit Petty Cash and credit Cash.
For the replenishing question: both b (at the end of the month) and c (when it has reached a certain dollar amount).