Vanessa's Gymnastics' cash register tapes do not agree with cash receipts.The facts are: total cash register tapes $400;total coins and currency $404.The summary journal entry to record the day's transactions would include a:
A)$400 debit to Cash;$4 debit to Cash Short and Over;and $404 credit to Service Revenue.
B)$404 debit to Cash;$4 credit to Cash Short and Over;and $400 credit to Service Revenue.
C)$404 debit to Cash and $404 credit to Service Revenue.
D)$400 debit to Cash and $400 credit to Service Revenue.

Question

Quizplus · Accepted Answer

The cash on hand is $404, which should be debited to Cash. The cash register tapes show $400, so Service Revenue should be credited for $400. The $4 difference is credited to Cash Short and Over.

Vanessa's Gymnastics' Cash Register Tapes Do Not Agree with Cash