What are the two definitions of cash, and why do corporate treasurers often use the seconddefinition?

Q: Which of the following items is added to the “cash balance from bank statement” on a bank…

A: Deposits in transit: Deposit in transit means the money received by a company and recorded in the…

Q: Which of the following generally would be considered good internal control of cash disbursements? a.…

A: Cash controls:   Management must have a safety measure to protect all assets against possible…

Q: Which of the following does not show good cash management regarding the controls over cash…

A:

Q: The treasury is in the public administration when it receives the cash from the central bank.

A: C

Q: Debate the logic used in the following statement: “The person responsible for handling cash receipts…

A: It may be true that the person responsible for handling cash receipts is more familiar with the…

Q: 71. Which of the following is the usual activity classification of cash advances and loans made by…

A: Operating activities is the function directly retated to company's core business activities. Like…

Q: What's the difference between a cash business and cash accounting?

A: A business that runs primarily on cash transactions is known as a cash business. The business may…

Q: This refers to a bank that has agreement with the clearinghouse to exchange checks. A.…

A: Hi student since you have asked multiple questions, we are solving the 1st independent question…

Q: Receivable management refers to the efficient and effective utilization of cash to attain company…

A: Credit policy is the rules or guidelines that tells about the amount of credit that can be granted…

Q: From page 4-4 of the VLN, in a bank reconciliation how are outstanding deposits treated? A. Add to…

A: The bank reconciliation statement is prepared to equate the balances of cash book and passbook with…

Q: What are the three primary reasons an organization holds cash or cash equivalents?

A: Cash and cash equivalents are those liquid assets which are either in cash or can be converted into…

Q: Explain the three principal reasons organizations want to keep cash on hand or in bank accounts.

A: Introduction:- Cash on hand is the sum of money that your business has immediately available on the…

Q: A bank reconciliation explains the differences between ____________. A. cash receipts and cash…

A: Introduction: BRS: BRS stands for Bank Reconciliation statement. To reconcile the difference between…

Q: 1. During the reconciliation of the company’s cash account with its bank statement, what should the…

A: Answer: Bank reconciliation is the action performed to match cash balance as per books and cash…

Q: internal controls over cash receipts and cash payments. Identify and discuss the similarities and…

A: lnternal control are  methods that are ensure  the proper safeguarding of assets are necessary to…

Q: How do businesses control cash receipts by mail?

A: Cash Receipts by Mail: Cash receipts are those payments that customer receives from the sales made.…

Q: What is a bank reconciliation statement and how does it work?

A: Bank reconciliation is also known as a passbook. A bank reconciliation statement is a book that…

Q: What type of internal controls would ensure proper classification of cash equivalents and how would…

A: Cash equivalents represent the current assets which are highly liquid. These are usually less risky…

Q: How do businesses control cash receipts over the counter?

A: Internal control: Internal control is a process which ensures continuous reliability of…

Q: Which of the following generally would not be considered good internal control of cash receipts? a.…

A: Internal control: Internal control is a process which ensures continuous reliability of…

Q: Which of the following is considered as cash equivalents? Bank overdraft Trade AR Money orders All…

A: Cash and cash equivalents are those short term assets which can be converted into cash in short…

Q: What is the importance of cash discounts to the client and howcan the auditor verify whether they…

A: The company needs to take measures that increase the profit of the product. Cash discount is one of…

Q: Which of the following statement is prepared to identify the discrepancies between the cash balance…

A: Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with…

Q: What are the benefits of a company having a centralized cash management system

A: A centralized cash management system efficiently handles cash and provides a higher return for the…

Q: Explain with figures why your company’s cash book balance will not agree with the bank statement…

A: Explain with figures why your company’s cash book balance will not agree with the bank statement…

Q: QUESTION 1 a) Explain the reasons for the difference between the cash book and bank statement. b)…

A: Cash book is the book in which all the transactions of the business which involves cash is recorded.…

Q: why is there generally a difference between the balance in a cash account on the company's books and…

A: The statement of Bank reconciliation is a report that matches the money balance on an organization's…

Q: Which of the following items would normally be EXCLUDED from the amount to be reported as cash on a…

A: Statement of financial position is the one on which the company's assets and liabilities are…

Q: Explain and answer the following questions below: 1. Explain the financial presentation and…

A: Cash refers to the currency and coins which is most liquid asset of the company which could possess.…

Q: Effective cash management and control includes all of the following excepta. the use of a petty cash…

A: The correct answer is  c. purchase of stocks and bonds.     Explanation for correct answers:…

Q: A banker wants to check the details of the cash movements of the company. Which of the following…

A: Introduction: Balance sheet: All assets and liabilities are shown in balance sheet. It tells the net…

Q: From page 4-4 of the VLN, in a bank reconciliation how is a NSF check treated? A. Add to the company…

A: Bank Reconciliation: It is a statement where the balance as per the cash book gets reconciled with…

Q: The document that explains all the differences between the company’s cash records and the bank’s…

A: Explanation for the correct answer:Bank reconciliation statement is a report that summarizes the…

Q: For most businesses, what does cash consist of ?

A: Given: The requirement of the cash in a business.

Q: why is petty cash fund deducted in the book balance of the entity when making bank reconciliation?

A: A petty cash fund is a fund where some money is kept separately to pay for minor expenses such as…

Q: Cash amounts held Cash is an important asset for a business which should be protected against fraud…

A: The internal controls that can be put in place by a company to protect its cash are: Segregation of…

Q: Which of the following should not be considered cash by an accountant

A: Cash is the most liquid form of asset which is important for the solvency of any company. It is…

Q: Which of the following does not belong to the group?   Petty cash fund Accounts Receivable…

A: Assets- Assets are any items of economic value that will provide future benefit and can be converted…

Q: The document that explains all the differences between the company’s cash records and the bank’s…

A: Bank Reconciliation Statement: Bank statement is prepared by bank. The company maintains its own…

Q: Why is the monthly reconciliation of bank accounts by an independent person an important internal…

A: Bank reconciliation statement is an important tool for internal control and it is prepared at the…

Cash Book

So, before coming to the topic of cash books, I will let you briefly explain about the cash so that you all can be familiar with the word cash. Cash comes under the category of the current asset which is used as a medium of exchange for all the financial transactions in the firm. Cash is something that is universally accepted as a mode of payment. So, now comes to the topic i.e., cash book.