Accounting & Bookkeeping & Small Business Forum

[Guest]

I do books for a company that always keeps their petty cash account at $200. If it is a few dollars off and I can't find where, how do I adjust it back to $200? Would I create an adjustment expense account?

Thank you in advance
Becky

[Guest]

iF THE PETTY CASH FUND IS ALWAYS A FEW DOLLARS OFF THE REASON NEEDS TO BE FOUND OUT iS THERE EMPLOYEE THEFT OR IS THE OWNER DIPPING INTO THE ACCOUNT? tREAT ANY ADJUSTMENT AS A CASH SHORT OR OVER. bUT DO REMEMBER TO TAKE CORRECTIVE ACTION.

[Guest]

Thank you Richard.

Would I use this same cash short or over for other accounts too? For example, if the bank account is off by a couple dollars.

There are also 2 other accounts that are off by $800 and $1200. Before I started doing books for them, they would put their credit card sales and undeposited funds in holding accounts until the funds were electronically deposited into the bank account. At that point they would then transfer the amount to the bank account in QB. Subsequently, after 2 years of doing it this way, those holding accounts are off by a few hundred dollars. It would take more time than it is worth to go back and fix it all, so I just want to adjust those accounts do zero. Would I use these same discrepency (short or over) accounts?

Thanks for any help.

Becky

[Guest]

Dear Becky:

What was the response to your inquiry? I am having the same issue?

Thanks
Barbra