BUSI 1001 Lecture 4: BUSI 1001_ Chapter 4
8 Feb 2019
School
Department
Course
Professor
Document Summary
Cash float: cash kept in cash drawers in stores at all times. Petty cash: box of money kept to spend on small items. Cash equivalents: short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. Very rarely, your bank statement and your own company"s records will be similar; i. e. sometimes transactions go through the bank statement that don"t show up on your own account. Therefore, when you receive the bank statement, you should compare all cheques and deposits on the statement to the company"s records. Then, record all items on the bank statement that aren"t recorded in the company"s records, e. g: Nsf (non sufficient funds, bounced cheques) cheques. Interest charges / interest income collected on behalf of the company. Is a reconciliation between cash per the company"s records and cash per the bank"s records - two reconciling items:
