Petty Cash Flashcards
What is a petty cash book?
Book of first entry as well as a ledger account in which small cash transactions are recorded.
What is the purpose of the analysis columns?
A specific expense will have all the entries recorded in the same column.
What are sundry expenses?
Includes milk, coffee, tea, sugar used by staff or any other expense that cannot be allocated in a specific expense.
What are sundry accounts?
Accounts with specific columns allocated to them
Cash?
Notes and coins readily available in business
Transactions - cashbook
Cash float?
Money made up of various denominations.
Each register morning business opens - change to customers
Transactions - cash book(credit) GL(debit)
Petty cash?
Cash for small cash payments.
Transactions - petty cash book
What is the purpose of the petty cash book?
Record all small cash payments and receipts in a business
Who is responsible for the petty cash?
Petty cashier
What is the impressed system?
Petty cash book starts each month with the same balance.
What is the source document used for petty cash?
Petty cash voucher
PCV
