Accounts used to cover day-to-day office expenses are referred to as
A)petty cash.
B)bad debts.
C)cash restrictions.
D)compensating balances.

Question

Quizplus · Accepted Answer

Petty cash is a small fund of cash kept on hand to cover day-to-day expenses such as office supplies, postage, and refreshments. It allows for quick and easy payment of small expenses without having to use a check or credit card for every transaction.

Accounts Used to Cover Day-To-Day Office Expenses Are Referred to as