Liquidating petty cash expenses
Typically this kind of book or log is created for small payments or transactions which involve small amounts so that everything is recorded, no matter how small.
Some examples of such small payments are bus, taxi or car fare, stamps and postage, payments for coffee or tea and others.
Expenses would be recorded in a classified method, arranged according to the chronological dates of the transactions.
A total amount can also be added in the credit side to see the whole amount recorded for expenses.
Then at the end of the day, you can compute the total funds you have left in your box.
With this type of log, you’d have to create a separate column for each of the headings of expenses in the credit part of your log.
Before you start making your log, it would be helpful to learn about the different types, which would serve different purposes.
Though you can make your own petty cash log template, learning about the different types can help you out immensely.
Especially when dealing with smaller amounts, which could go unnoticed, having a log or a record would allow you to keep track of everything as the small amounts pile up.This type of log would contain a lot of columns for amounts of money so you can record daily expenses and it should have a debit and credit side.All the particulars such as receipts and expenses are recorded together in a column which you can name “particulars.” Another column would contain dates for debit and credit records.Any cash spent to purchase or payment is written on separate columns, referred to as the ledger column.The difference between the amount of money in the receipts and the total amount of money payments is referred to as the balance, which is always a debit balance.