Petty Cash
Cash includes currency and coins, although most businesses do not keep much of this type of cash around. Also included as a part of cash are the balances kept at banking and financial institutions. These balances include savings and checking accounts. The cash a business keeps on hand is called petty cash. If you order a pizza for the staff to eat at lunch, the delivery person is not going to want to prepare a bill and then wait two weeks for a check. The delivery person will want payment at the time of delivery, so businesses usually keep some cash handy for these minor payments. A petty cash box handles the chore nicely.
Let's say the company decides that $200 is the right amount of cash to have on hand. On February 19, 2002, it ...
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