The Entry to Record Reimbursement of the Petty Cash Fund
Expenses paid with petty cash are recorded when the fund is replenished. A debit to Cash Short and Over. 2 The cashier creates a journal entry to record the petty cash receipts. . As the company has used a petty cash amount 2600 so we need to reimburse back this amount to let the petty cash reach the float. In order to reimburse the petty cash we need to record the transfer of cash at bank to petty cash. A credit to Cash Over and Short for 500. But that is not. Sorted the petty cash receipts by accounts affected and exchanged them for a check to reimburse the fund for expenditures. The petty cash fund is reimbursed at the start of the month. This initial setup amount is sometimes referred to as your float. For petty cash accounting you must create a log detailing your transactions. After recording the expenses and crediting the petty cash fund the company will reimburse the account with cash or fund. ...