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FINANCIAL ADMINISTRATION

Assignment 1 – Petty Cash


Petty cash is a monetary system that contains a set monthly amount that businesses
can use to purchase small and/or incidental items (e.g. stationery, coffee, stamps,
cleaning supplies etc.).

Upon completion of this assignment, you will be able to:

 Conduct petty cash transactions.


 Perform petty cash reconciliation.
 Complete a petty cash book.

Scenario:

The manager at Plum Real Estate Agents wants to set up an Imprest system of petty
cash for $150.00; you are acting as petty cashier, you have just replaced Jim Hurst.

Instructions:

You are creating a petty cash system using $150.00 cash cheque dated for the need of
January 2, 2019 to ensure you have the Imprest amount required for the month of
January. Attached are the documents relating to the Petty Cash transactions for the
month of January 2019. Record the month’s transactions, reconcile the petty cash book
and reimburse the petty cash fund.

Complete the following Sections:

1. Complete an advance cheque for $150.00 and a bills and coins order form.

2. Record the transactions from the petty cash vouchers (in the pages to follow) in the
petty cash book. It is important you check the amounts to ensure they are correct.

3. Total the petty cash transactions for the month of January 2019.

4. Reconcile the petty cash book to the cash on hand in the petty cash box.

5. Complete a reimbursement request form and a reimbursement cheque to bring the


petty cash box amount back up to the Imprest amount of $150.00. Also, complete
the bills and coins order form.

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FINANCIAL ADMINISTRATION

Figure 1. Advance Cheque Template.

January 2, 2019

Petty Cash 150.00


ONE HUNDRED AND FIFTY---------------------------------------------
-

Petty Cash Approval Signature

Figure 2. Coins Order Form. For individual coin requests, use the first part of the form,
and to order rolls, use the second section which shows the total amount per roll in
brackets.

Coins
Amount Rolls Each Total
(total per roll)
0.05
0.10
0.25
1.00 5 $5.00
2.00 5 $10.00
0.05 (2.00) 5 $10.00
0.10 (5.00) 4 $20.00
0.25 (10.00) 3 $30.00
1.00 (25.00)
2.00 (50.00)

($75 in coins)

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FINANCIAL ADMINISTRATION

Figure 3. Bills Order Form.

Bills
Amount Each Total

5.00 5 $25.00
10.00 3 $30.00
20.00 1 $20.00
50.00
100.00
($75 in bills)

Figure 4. Petty Cash Transaction Vouchers.

09/Jan/19

HST

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10/Jan/19

HST

17/Jan/19

HST

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19/Jan/19

HST

24/Jan/19

HST

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29/Jan/19

HST

31/Jan/19

HST

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FINANCIAL ADMINISTRATION
Plum Real Estate Petty Cash Journal

An Excel template of the Petty Cash Book (Journal) has been supplied separately (which is a slightly
different format), if you prefer to use a spreadsheet instead.

Date Opening Cash Cash Expenditure Expense Balance


Balance Out In Amount
January 9, $150.00 $12.00 Postage $12.00 $138.00
2019
January 10, $25.00 $2.00 Copy Paper $23.00 $115.00
2019
January 17, $16.50 Courier $16.50 $98.50
2019
January 19, $10.00 $0.40 Coffee and Milk $9.60 $88.90
2019
January 24, $25.30 Pens $25.30 $63.60
2019
January 29, $10.00 $4.60 Newspapers $5.40 $58.20
2019
January 31, $50.00 Stamps $50.00 $8.20
2019

$141.80

Month End
Reconciliation Closing
Cash
Amount
Balance $8.20

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FINANCIAL ADMINISTRATION

Figure 5. Reimbursement Request Form.

Date: January 31, 2019

Custodian Name: Shannon McCourt


Plum Real Estate
Department: Agents, Sales
Department (Toronto)
Description of Type of
Date Expense Office Department Expense Amount
Replenish Petty Cash
January 31, 2019 101 2300 31222 $78.50
Float
January 31, 2019 101 2300 31224 $30.70

January 31, 2019 101 2300 31223 $9.60

January 31, 2019 101 2300 31221 $23.00

Requested by Total Petty


Shannon McCourt $141.80
(print name): Cash Required:
Manager Approval:
Suzanne Land Cash on Hand: $8.20
(signature)
Total Petty
Reviewed by: Suzanne Land $150.00
Cash Float:

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FINANCIAL ADMINISTRATION

Figure 6. Reimbursement Cheque.

1937

January 31, 2019

Petty Cash 141.80

ONE HUNDRED AND FORTY ONE--------------------------------------------80

Petty Cash Reimbursement Approval Signature

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FINANCIAL ADMINISTRATION

Figure 7. Coins Order Form.

For individual coin requests, use the first part of the form, and to order rolls, use the second section.

Coins
Amount Rolls Each Total
(total per roll)
0.05 1 $0.05
0.10
0.25 3 $0.75
1.00 1 $1.00
2.00
0.05 (2.00)
0.10 (5.00) 4 $20.00
0.25 (10.00) 2 $20.00
1.00 (25.00)
2.00 (50.00)

Figure 8. Bills Order Form.

Bills
Amount Each Total

5.00 8 $40.00
10.00 4 $40.00
20.00 1 $20.00
50.00
100.00

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FINANCIAL ADMINISTRATION

Figure 9. Chart of Accounts.

Office Office Department


Location Code Department Code
Toronto 101 Sales 2300
Montreal 102 Marketing 2301
Vancouver 103 Finance 2602
Calgary 104 Facilities 2632

Type of Expense Account


Number
Accommodations/Meals 31220
Stationery 31221
Postage and Mail Fees 31222
Staff Amenities 31223
Office Expenses 31224
Memberships 31330
Travel (Plane, Car, Bus) 31555
Honorariums 61080
Promotions 71250
Program Development 71149
Professional
Development 71150
Membership & Dues 71425
Telecommunication 72010
Other/Miscellaneous 71110

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