Which of the Following Procedures Is Incorrect for Setting Up

Multiple Choice

Which of the following procedures is incorrect for setting up and maintaining a petty cash fund?

A) A check is prepared for a fixed amount;when the check is cashed,the money is entrusted to a petty cash custodian.
B) A journal entry is recorded to establish the fund and obtain the cash.
C) When appropriate documentation is presented,cash payments are made from the fund;the petty cash custodian retains the documentation.
D) When the petty cash fund is replenished,a journal entry is recorded to recognize an increase in the petty cash account.