Petty cash imprest system allows only to replenish the spending. So, if you start the month with $100 in your petty cash float and spend $90 of that cash in the month, an amount of $90 will be then placed in your petty cash float to bring the balance of your petty cash float back to $100. The replenishment is credited to the primary cash account and the debits will go to the respective expense accounts, based on the petty cash receipts.
Read more about this topic: Imprest System
Famous quotes containing the words petty, cash and/or system:
“It is always a sign of an unproductive time when it concerns itself with petty and technical aspects [in philology], and likewise it is a sign of an unproductive person to pursue such trifles.”
—Johann Wolfgang Von Goethe (1749–1832)
“If when a businessman speaks of minority employment, or air pollution, or poverty, he speaks in the language of a certified public accountant analyzing a corporate balance sheet, who is to know that he understands the human problems behind the statistical ones? If the businessman would stop talking like a computer printout or a page from the corporate annual report, other people would stop thinking he had a cash register for a heart. It is as simple as that—but that isn’t simple.”
—Louis B. Lundborg (1906–1981)
“UG [universal grammar] may be regarded as a characterization of the genetically determined language faculty. One may think of this faculty as a ‘language acquisition device,’ an innate component of the human mind that yields a particular language through interaction with present experience, a device that converts experience into a system of knowledge attained: knowledge of one or another language.”
—Noam Chomsky (b. 1928)