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FIA FA1 Petty Cash balance

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA BT – FIA FBT › FIA FA1 Petty Cash balance

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by Ken Garrett.
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  • Author
    Posts
  • June 5, 2017 at 12:35 pm #390517
    veronikamikh
    Member
    • Topics: 7
    • Replies: 3
    • ☆

    Hello
    I am totally confused with question:

    Petty cash balance each week £150. At the end of week there are some vouchers with petty cash of £16.20, £10.37, £31.65.
    What transactions should be recorded in order to restore the patty cash balance:

    1. Dr Bank £91.78 Cr Petty cash £91.78
    2. Dr Petty cash £91.78 Cr Bank £91.78
    3. Dr Petty cash £58.22 Cr Bank £58.22
    4. Dr Bank £58.22 Cr Petty cash £58.22

    Could you please explain me which one in correct and why?
    Thank you in advance.

    Kind regards

    June 8, 2017 at 12:31 pm #391798
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10648
    • ☆☆☆☆☆

    A total of 16.20 + 10.37 + 31.65 = 58.22 and this amount has to be paid into the petty cash from the bank to bring the balance back up to £150.

    Therefore:

    Dr Petty Cash 58.22; Cr Bank 58.22

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