An imprest isa cash account that a business relies on to pay forroutine, small expenses. Cashiers regularly replenish funds in the imprest, while ensuring a fixed balance is maintained. The term "imprest" can also mean a monetary advance that is given to a person for a specific purpose. Wh...
Why use an Imprest account for petty cash? One of the main benefits of the Imprest system is the fact that it helps to deter unauthorised spending, as the money in the account is earmarked for a particular use. Because Imprest accounts pay out roughly the same amount of cash on a regular...
Definition of an Imprest System of Petty Cash An imprest system of petty cash means that the general ledger account Petty Cash will remain dormant at a constant amount. If the amount of petty cash is $100, then the Petty Cash account will always report a debit balance of $100. This $100...
Definition:An imprest system is a method to account for petty cash by maintaining a balance in a fund that equals petty cash receipts plus additional cash in the fund. What Does Imprest System Mean? Contents[show] Most companies set up a special fund called a petty cash fund for small purc...
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Shown below is an example of a petty cash voucher. Related Questions What is an imprest system of petty cash? How do I start a petty cash fund? What is petty cash? What does it mean to replenish the petty cash fund? How is the account Cash Short and Over used? How is a ...
General Petty Cash: A general petty cash fund is a designated amount of money set aside for small, miscellaneous expenses. It is typically used for items such as office supplies, postage, and minor employee reimbursements. Imprest Petty Cash: An imprest petty cash fund is a fixed amount of ...
Q1. What is the difference between a Cash Book and a Pass Book? Answer: Q2. What are the Types of Petty Cash Books? Answer:There are two types of petty cashbooks as follows: Imprest petty cash book: Imprest petty cash book maintains a fixed amount of money in the account. It follows...
» What Is an Imprest Account or Petty Cash Fund?Blagoja Jovanovski Blagoja is a creative writer based in Skopje, North Macedonia with a penchant for research and writing. He studies English and Literature, focusing on the work of the Brontë sisters. Currently, Blagoja writes for Payment...