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Chapter 6 Weekly Discussion

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Q Chapter 6 - Weekly Discussion 1. What is petty cash, what is it used for and how is it established? 2. Companies work hard at establishing internal controls. What are the limitations of internal controls? RUBRIC: **5 points are awarded for a post that correctly and the answer with proper punctuation and grammar. This post is typically is a full paragraph with at least 5-8 sentences. **3 points are awarded for a post that is "mostly" correct and complete with proper punctuation and grammar. This post is typically close to a full paragraph with at least 3-5 sentences. **1 point is awarded for a post that is incorrect and/or incomplete. **0 points are awarded to those that do not answer the question

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1)- What is Petty cash: Petty Cash is a little payment of company cash which is operated for spending unexpected costs. • What is it used for: It is used for the expenditure of office reserves, catered food for workers, or repaying workers for fees or expenditures, postage, and insignificant restorations. • How it is established: For an established petty cash budget, businesses and organizations grant responsibility to a person name the petty cash guardian. So, I need to document a check to the petty cash keeper who cashes the bill and places the cash in a sealed file or he may keep it in a money package.