Explain the meaning of the imprest system of petty cash book. - Accountancy

Explain the meaning of the imprest system of petty cash book.

टीपा लिहा

Under this system, a fixed amount necessary or sufficient to meet petty payments determined on the basis of past experience is paid to the petty cashier on the first day of the period. (It may be a week or fortnight or month).
The amount given to the petty cashier in advance is known as “Imprest Money”.
The word imprest means payment in advance.
The petty cashier makes payments from this amount and records them in the petty cash book.
At the end of a particular period, the petty cashier submits the petty cash book to the head cashier.
The head cashier scrutinies the petty payments and gives an amount equal to the amount spent by the petty cashier so that the total amount with the petty cashier is now equal to the amount he had received in the beginning as advance.
Under the system, the total cash with the petty cashier never exceeds the imprest at any time during the period.
This method thus provides effective control over petty payments.

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Petty Cash Book

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पाठ 7: Subsidiary Books - 2 - Short answer questions [पृष्ठ १४६]

पाठ 7 Subsidiary Books - 2
Short answer questions | Q III 1. | पृष्ठ १४६

Give word/term or phrase for the following statement:

Person who maintains Petty Cash Book.

Do you agree with the following statement:

Petty Cash Book is a book having a record of big payments.

The balance in the petty cash book is ______.

Small payments are recorded in a book called ______.

Opening Petty Cash		Petty Cash Received		Petty Expenses Paid		Closing Petty Cash Balance
400	+	?	-	1,800	=	250

From the following information prepare Columnar Petty Cash Book kept on imprest system in the books of Manisha Books Stall, Beed.

2018 April		Amt (₹)
01	Opening petty cash balance	200
02	Received a bearer cheque to make up the imprest amount	1,200
03	Gave a tip to peon	40
04	Purchased stationery	150
05	Paid Taxi Fare	35
06	Purchased Stamp pad	140
07	Paid Cartage	40
08	Paid Bus Fare	30
11	Paid to sweeper	50
13	Purchased a box of pencils	40
14	Paid Mobile charges	35
15	Gave it to Sohan on account	250
19	Paid for Refreshment to staff	150
20	Paid Railway Fare	30
21	Paid Carriage	65

From the following information prepare Columnar Petty Cash Book kept on imprest system in the books of Manisha Books Stall, Beed.

2018 April		Amt (₹)
01	Opening petty cash balance	200
02	Received a bearer cheque to make up the imprest amount	1,200
03	Gave a tip to peon	40
04	Purchased stationery	150
05	Paid Taxi Fare	35
06	Purchased Stamp pad	140
07	Paid Cartage	40
08	Paid Bus Fare	30
11	Paid to sweeper	50
13	Purchased a Box of pencils	40
14	Paid Mobile charges	35
15	Gave to Sohan on account	250
19	Paid for Refreshment to staff	150
20	Paid Railway Fare	30
21	Paid Carriage	65

From the following information prepare Columnar Petty Cash Book kept on imprest system in the books of Manisha Books Stall, Beed.

2018 April		Amount (₹)
01	Opening petty cash balance	200
02	Received a bearer cheque to make up the imprest amount	1,200
03	Gave a tips to peon	40
04	Purchased stationery	150
05	Paid Taxi Fare	35
06	Purchased Stamp pad	140
07	Paid Cartage	40
08	Paid Bus Fare	30
11	Paid to sweeper	50
13	Purchased a Box of pencils	40
14	Paid Mobile charges	35
15	Gave to Sohan on account	250
19	Paid for Refreshment to staff	150
20	Paid Railway Fare	30
21	Paid Carriage	65

From the following information, prepare a columnar petty cash book kept on the imprest system in the books of Manisha Books Stall, Beed.

2018 April		Amt. (₹)
01	Opening petty cash balance	200
02	Received a bearer cheque to make up the imprest amount	1,200
03	Gave a tips to peon	40
04	Purchased stationery	150
05	Paid Taxi Fare	35
06	Purchased Stamp pad	140
07	Paid Cartage	40
08	Paid Bus Fare	30
11	Paid to sweeper	50
13	Purchased a Box of pencils	40
14	Paid Mobile charges	35
15	Gave to Sohan on account	250
19	Paid for Refreshment to staff	150
20	Paid Railway Fare	30
21	Paid Carriage	65

From the following information prepare Columnar Petty Cash Book kept on imprest system in the books of Manisha Books Stall, Beed.

2018 April		Amt (₹)
01	Opening petty cash balance	200
02	Received a bearer cheque to make up the imprest amount	1,200
03	Gave a tips to peon	40
04	Purchased stationery	150
05	Paid Taxi Fare	35
06	Purchased Stamp pad	140
07	Paid Cartage	40
08	Paid Bus Fare	30
11	Paid to sweeper	50
13	Purchased a Box of pencils	40
14	Paid Mobile charges	35
15	Gave to Sohan on account	250
19	Paid for Refreshment to staff	150
20	Paid Railway Fare	30
21	Paid Carriage	65