The size of the petty cash fund is dependent on

Question

Quizplus · Accepted Answer

The size of the petty cash fund should be dependent on the anticipated disbursements for a three- to four-week period to ensure that there is enough cash available for small expenses. The custodian's wishes or the size of the regular cash account should not be the determining factors for setting the size of the petty cash fund. Anticipated disbursements for the year may be too broad of a timeframe and could result in having too much or too little cash available in the petty cash fund.

The Size of the Petty Cash Fund Is Dependent on