Developing a workable system using simplified accounting, for both cash and accrual methods of bookkeeping is very important. A Daily Cash Report is quite important when you use the cash accounting method. This report provides the information required for recording sales, cash receipts, miscellaneous income, cash purchases made from cash on hand, bank deposits, and cash shortages or overages. The person making the deposit can easily fill it out each day by using that days invoices, register tapes, and bank deposit slips. The report is then filed in a folder for the bookkeeper / accountant to post to a Cash Receipts / Sales Journal.
This report should be tailored to fit the individual business. Begin by placing the name of the company at the top, then adjust the categories to describe business's source of deposits. For instance, if the company's deposits comes from a single source then you will be able to greatly reduce the number of lines.
In addition to the typical daily transactions, the Daily Cash Report should provide an area to describe unusual events such as those noted below.
Other Deposits: These extra deposits would include re-deposits of returned checks, monies received from the sale of fixed assets, additional cash investments made by owners, and deposits resulting from loans received from outside parties.
Special Notes: In this area comments are recorded regarding unusual business transactions which may be important to the bookkeeper.
Advancing Your Account-Ability, Module III of the Professional Bookkeeper Program, explains The Daily Cash Report in detail.
Click HERE to see what else is taught in Module III.
Developing a workable system using simplified accounting, for both cash and accrual methods of bookkeeping is very important. A Daily Cash Report is quite important when you use the cash accounting method. This report provides the information required for recording sales, cash receipts, miscellaneous income, cash purchases made from cash on hand, bank deposits, and cash shortages or overages. The person making the deposit can easily fill it out each day by using that days invoices, register tapes, and bank deposit slips. The report is then filed in a folder for the bookkeeper / accountant to post to a Cash Receipts / Sales Journal.
