LESSON 9-3
Performing Additional
Cash Payments Journal
Operations
CENTURY 21 ACCOUNTING © Thomson/South-Western
2
PETTY CASH REPORT
 A petty cash fund enables a business to pay cash for
small expenses without writing a check (Ch. 5).
 Errors may be made when making payments…
 Cash Short: a petty cash on hand amount that is
less than a recorded amount.
 Cash Over: a petty cash on hand amount that is
more than a recorded amount.
CENTURY 21 ACCOUNTING © Thomson/South-Western
LESSON 9-3
3
PETTY CASH REPORT
1. Write the date and
1
custodian name.
2. Write the fund total.
3. Summarize petty cash
payments.
4. Calculate and write the
3
total payments.
5. Calculate and write the
recorded amount on
hand.
5
6. Write the actual amount of cash on hand.
7. Subtract the actual amount on hand from the
recorded amount on hand and write the amount.
8. Write the total of the replenish amount.
CENTURY 21 ACCOUNTING © Thomson/South-Western
page 248
2
4
6
7
8
LESSON 9-3
4
REPLENISHING A PETTY CASH FUND
 Recorded in an account titled Cash Short and Over in
the Cash Payments Journal
 It is a temporary account, and it is eventually closed
to Income Summary
 Petty Cash Over  General Credit column
 Petty Cash Short  General Debit column
CENTURY 21 ACCOUNTING © Thomson/South-Western
LESSON 9-3
5
REPLENISHING A PETTY CASH FUND
page 249
1.
2.
3.
4.
5.
Date
Account titles
Check number
Expense amounts
Cash short as a debit;
cash over as a credit
6. Total cash payment
4
5
6
1
2
3
CENTURY 21 ACCOUNTING © Thomson/South-Western
LESSON 9-3
6
TOTALING, PROVING, AND RULING A CASH
PAYMENTS JOURNAL PAGE TO CARRY TOTALS
page 250
FORWARD
1
2
1.
2.
3.
4.
5.
6.
3
4
5
Rule a single line.
Write the date.
Write the words Carried Forward in the Account Title column.
Place a check mark in the Post. Ref. column.
Write each column total.
Rule double lines.
CENTURY 21 ACCOUNTING © Thomson/South-Western
6
LESSON 9-3
7
STARTING A NEW CASH PAYMENTS
JOURNAL PAGE
page 251
1
2
1.
2.
3.
4.
5.
3
4
5
Write the journal page number.
Write the date.
Write the words Brought Forward in the Account Title column.
Place a check mark in the Post. Ref. column.
Record the column totals.
CENTURY 21 ACCOUNTING © Thomson/South-Western
LESSON 9-3
TOTALING, PROVING, AND RULING A CASH
PAYMENTS JOURNAL AT THE END OF A
MONTH
8
page 252
1
2
3
1.
2.
3.
4.
5.
Rule a single line.
Write the date.
Write the word Totals in the Account Title column.
Write each column total.
Rule double lines.
CENTURY 21 ACCOUNTING © Thomson/South-Western
4
5
LESSON 9-3
9
TERMS REVIEW
page 253
 cash short
 cash over
CENTURY 21 ACCOUNTING © Thomson/South-Western
LESSON 9-3