Explain Control of Cash
Explain Control of Cash. Illustrate briefly.
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Control of Cash: As cash is a liquid asset therefore, it is simple to transfer or exchange. Big number of accounting and financial scandals is associating to misappropriating funds, money and cash. Therefore, it is the prime duty of account manager to manage cash daily basis from point of sale and must send it to bank. Efficient internal audit of cash is also helpful for efficient control of cash. When the organization has independent department for inspection cash physically, then it has minimum chance to commit fraud in cash. To accept and pay the payment through electronic form is good way to decrease cash dealing. With this, no requirement to keep big amount in business office.
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