Question

What are the objectives of cash book

Answer 1

Answer:

Objectives of Bank Cash Book

The main objectives of bank cash book are as follows:

• To make systematic and permanent record of all cash and banking transactions.

• To control over cash and banking transactions effectively.

• To show the position of cash account, bank account, budget expenditure account, advance account and miscellaneous account.

• To show the bank balance of the office at any given point of time.

• To supply necessary and reliable information and data for preparing monthly statements and other financial reports.

• To prove the completion of the double effect of each transaction.

• To estimate the amount of cash requirement and disbursement.