A minor amount of cash kept on hand to pay for small purchases is referred to as a:

Question

Quizplus · Accepted Answer

A petty cash fund is a small amount of cash that is kept on hand to pay for small expenses or purchases, such as office supplies or postage. It is typically maintained by an individual in charge of handling such small expenses within a business or organization. The other choices, cash receipts fund and cash payments fund, refer to different types of funds that relate to recording incoming and outgoing cash transactions, respectively. The choice D, cookie jar fund, is not a commonly used term in accounting or finance.

A Minor Amount of Cash Kept on Hand to Pay