Summary Petty cash is small in amount but big in complexity. •Based on the role play, what is petty cash? Petty Cash Petty Cash is generally kept in a petty cash drawer and payments are made for miscellaneous items out of this cash. Many are downloadable. This amount varies by company and may be as small as $25 or as large as $500 depending on the company’s needs. CAS H Printer Ink Stationery Taxi fare Refreshments Cleaning supplies PETTY Look at these pictures and suggest how much these items cost 2. What is Petty Cash? 2.

Create a transaction log. Besides maintaining a main or general cash book, many companies also maintain a small cash book known as petty cash book to record small day to day expenditures of the business.. Petty cash funds are established for the purpose of enabling departments to complete minor business transactions as part of their daily operations. PETTY CASHAMNA ABBASI13227297What is Petty Cash?Allows for immediate payments to be made Cash on handAdvantages of Petty Cash 213allows better monitoring of cash flow saves timeeasy to use and understandDisadvantages of Petty Cashoutdated and inefficient21not reasonable for larger expensesThe operation of a petty cash fund will include 3 activities:132Establishing the fundMaking … Petty cash is easy to steal, so make sure you protect it: Separate duties, so the person who is recording transactions is different from the person putting the transactions into your accounting system. Fund Petty Cash. View Petty Cash PPTs online, safely and virus-free! Get ideas for your own presentations. 3. Do the initial setup that includes appointing a custodian, obtaining a cashbox, and training staff. | PowerPoint PPT presentation | free to view Accounting for Petty Cash and Cash Short and Over - Cash of $107 must be added to the Petty Cash … Keep the petty cash box in a secure location, known only to one or two people. Share yours for free! Petty cash introduction 1. Create the guidelines that will clarify how your organization will handle its petty cash. 4. There are six steps in a petty cash system: 1.

Petty cash book is a type of cash book that is used to record minor regular expenditures such as office teas, bus fares, fuel, newspapers, cleaning, pins, and causal labor etc. Learn new and interesting things. The procedure for petty cash funding is outlined below:. Petty cash or the petty cash fund is a small amount of cash on hand used for paying expenses too small to merit writing a check. Establishing A Petty Cash Fund A Petty Cash fund is established by cashing a check for the amount determined to be included in the Petty Cash fund. This involves summarizing all disbursements made and issuing cash back to the fund for that amount.

When cash is added to a petty cash fund, the basic concept is to replace the amount of any cash that had previously been disbursed from the fund.