In reimbursing the petty cash fund:

Question

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When reimbursing the petty cash fund, appropriate expense accounts are debited to reflect the expense that was paid for using the petty cash fund. This helps to ensure that the expense is recorded accurately in the company's financial records. Additionally, Petty Cash account is credited to reduce the balance since the fund has been reimbursed. Therefore, options A, B, and C are not correct, and option E is not feasible since an expense was incurred.

In Reimbursing the Petty Cash Fund