Skip to content

ACCA Applied Knowledge · Financial Accounting · Double-entry bookkeeping principles including the maintenance of accounting records

A petty cash system operates on the imprest basis with a float of $200. At the end of the week, vouchers total $146. How much cash must be drawn from the bank to restore the float, and what is the cash in the box before reimbursement?

Draw $146 from the bank; the box holds $54 before reimbursement. Under the imprest system the float is topped up by exactly the amount spent according to vouchers, so $146 is reimbursed and the cash returns to the $200 float.

  1. ADraw $146; cash in box is $54Correct
  2. BDraw $54; cash in box is $146
  3. CDraw $200; cash in box is $54
  4. DDraw $146; cash in box is $200

Explanation

Under the imprest system the amount reimbursed equals the amount spent, $146. Cash remaining before top-up is 200 - 146 = $54. After reimbursement the box returns to $200.

Did you get it right without looking?

One question tells you little. A timed set on Double-entry bookkeeping principles including the maintenance of accounting records shows your real accuracy, how long you take and where you lose marks.

Practise Double-entry bookkeeping principles including the maintenance of accounting recordsFree diagnostic mock

More Double-entry bookkeeping principles including the maintenance of accounting records questions