Meng Co. maintains a $300 petty cash fund. On January 31, the fund is replenished. The accumulated receipts on that date represent $80 for office supplies, $160 for merchandise inventory, and $20 for miscellaneous expenses. There is a cash shortage of $8.
- Based on this information, the amount of cash in the fund before the replenishment is:

Question

Quizplus · Accepted Answer

The total expenses are $80 + $160 + $20 = $260. The fund should have $300, so $300 - $260 = $40 should be left. However, there is an $8 shortage, so the actual cash is $40 - $8 = $32.

Meng Co Maintains a $300 Petty Cash Fund