Petty Cash - Meaning, Example, Accounting, How it Works?
Petty Cash - Meaning, Example, Accounting, How it Works?
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A petty cash book is a subsidiary book of accounts used to record small, routine cash expenses such as stationery, postage, tea, local travel, or minor repairs. What it’s used for Avoids issuing cheques for small payments Saves time and paperwork Keeps better control over minor expenses Common system used: Imprest System Under the imprest system: A fixed amount is given to the petty cashier (e.g., ₹2,000) Expenses are recorded as they occur At the end of the period, the cashier is reimbursed exa
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