Topic 3 - Petty Cash

One important task in the office is to manage the Petty Cash.

The following are the essential elements of Petty Cash:-

Petty Cash does not involve large amounts of money. From the pictures above you can probably draw a few conclusions about what Petty Cash is and it's purpose.

Go to the Help Material for assistance with Petty Cash

Policy and Procedures for Petty Cash at Swaggies

Every business will have a set of procedures for managing Petty Cash. Many of these are found on websites of businesses and organisations like clubs. It is time to look at Swaggies procedures.

Read Swaggies policy and procedures on Petty Cash   (p43) then complete

  Go to Task 4

The Accountability and Security of Petty Cash

It will always be the Petty Cash cashier's responsibility to make sure all Petty Cash funds are accounted for, so safeguards need to be in place to ensure this happens. Can you identify the safeguards?

  Go to Task 5

Petty Cash Transactions

Petty Cash transactions may be:- paper based or electronic.

Most businesses still operate a paper-based system. This will be the focus of this section of the topic.

It is very important to understand the process of managing Petty Cash. You will need to become familiar with the IMPREST method.

To find out more about this Petty Cash procedure   the  Support Material. You will need to understand this procedure to complete a range of activities/tasks

   Now tryActivity E

Go to the Help Material for assistance with Petty Cash

  Go to Task 6

Take Care

In Task 4 you encountered some examples where you felt, as the Petty Cash cashier, that the claim was not genuine (truthful or fitting to Petty Cash guidelines). As the Petty Cash cashier you are accountable (responsible) for all Petty Cash transactions.

You must:

Check each claim.

Adopt security procedures.

  Go to Task 7

Go to the Help Material for assistance with Petty Cash Book

Recording Petty Cash Details

You will be using the following resources:-

A list of transactions

Petty Cash vouchers

A cheque - used for advancement and reimbursement

A Petty Cash book

A calculator

Help Material Completed Cash Book

   Now tryActivity F

Complete each step of the activity by clicking on the icons in sequence

Step 1		Step 2
Petty Cash		Filling out the Petty Cash voucher

   Now tryActivity G

Step 3		Step 4
Completing the Petty Cash Book		Balancing the Petty Cash book

   Now tryActivity H

Step 5

Reimbursing the Petty Cash Book

Troubleshooting the Petty Cash Fund

As you process the Petty Cash you may have questions that need answering. The Policies and Policies manual will help you answer these questions.

Read the following questions do not answer them.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Now tryActivity I

   Now tryActivity J

Processing the Petty Cash book

  Go to Task 8

This is the end of Topic 3.  Now try Topic 4