Cash & Cash Equivalents
and cash equivalents, is the term used in the context of payments and
payments transactions. It refers to currency, coins, money
orders, paper checks, and stored value products such as gift
certificates and gift cards.
straightforward transaction and business receives immediate value.
It is still the
most common transaction and many people like cash and feel comfortable
paying with cash.
It has to be
sorted, counted and taken to the bank daily, and that it is
Security risks are
present (robbery, counterfeit, shortages resulting from employee
It is expensive,
because banks charge to handle cash.
| CASH TIPS
Tips To Avoid Risk Of Robbery:
Keep small amounts
of cash on hand.
Deposit cash daily.
If you have large
amounts of cash, make more deposits daily.
Never hold cash
overnight, use night deposit services.
NOTE: Business owners rarely pay suppliers
in cash, but there may be occasions when you pay cash for something If
you pay cash for something, obtain a receipt or you won't be able to
claim that expense.
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