A way to account for petty cash by maintaining a constant balance in the petty cash account and which at any time requires that cash plus petty cash tickets must total the amount allocated to the petty cash fund,is known as the ________.
A) control system
B) voucher system
C) balanced system
D) imprest system

Question

Quizplus · Accepted Answer

The imprest system is a method of accounting for petty cash that involves maintaining a constant balance in the account and requiring that cash plus petty cash tickets always equal the amount allocated to the fund. This ensures that the balance of the petty cash account remains accurate and that all expenditures are accounted for. The other choices (control system, voucher system, balanced system) do not specifically refer to the method of maintaining a constant balance in the petty cash account and are therefore not as appropriate.

A Way to Account for Petty Cash by Maintaining a Constant