Petty Cash Book - QS Study
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Petty Cash Book

In every industry, of whatever size, there are a lot of little cash payments such as transportation, carriage, postage, telegram, etc. These operating cost are usually repetitive in nature. If all these little payments are recorded in the cash book, it will be complicated for the cashier to uphold the records all by himself. The petty cash book is a official summarization of petty cash expenditures, sorted by date. In most cases, the petty cash book is an actual ledger book, rather than a computer record. In order to make the task of the cashier simple, these small and recurring expenses are recorded in a separate cash book called “Petty Cash Book” and the individual who maintains the petty cash is called the “Petty Cashier”.

Petty means ‘small’, the petty cash book is a book where little persistent payments like carriage, cartage, postage and telegram, printing and stationery etc., are recorded by the petty cashier, a person other than the chief cashier.