The Imprest system is a form of financial accounting system. The most common imprest system is the petty cash system. The base characteristic of an imprest system is that a fixed amount is reserved, which will be replenished at the end of a period or when circumstances require. This replenishment is not credited on the imprest account, but from another source. When a sufficient amount is used, the imprest account will never be credited again. As such, it can be seen as a permanent debt.
Read more about Imprest System: Petty Cash Imprest System, Why Use The Imprest System, How Petty Cash Imprest System Works
Famous quotes containing the word system:
“Nobody is glad in the gladness of another, and our system is one of war, of an injurious superiority. Every child of the Saxon race is educated to wish to be first. It is our system; and a man comes to measure his greatness by the regrets, envies, and hatreds of his competitors.”
—Ralph Waldo Emerson (1803–1882)