How would you record the establishment of a \$200 petty cash fund in the accounting journal?

• A. Debit Petty Cash \$200, Credit Accounts Payable \$200
• B. Debit Petty Cash \$200, Credit Cash \$200
• C. Debit Cash \$200, Credit Petty Cash \$200
• D. Debit Expenses \$200, Credit Cash \$200

Answer: (B)