The cash report is very easy to prepare. The amount of cash-in and cash–out is required to be documented in a formal document commonly known as cash report. It ensures that all the cash used by the business has been documented.
It is important for every businessman to know about total cash collected at the end of the day. The cash register is maintained in almost every business where the details about the cash are noted.
The cash report at the end of the day is prepared in order to prevent the mishandling of money to take place. It also protects the assets of a company against the loss.
Every business that feels the need to have a proper and efficient accounting system uses the cash register. There are many businesses that faced a lot of loss because they were not preparing a cash report for day to day cash received.
Preparing the cash report involves counting all the cash received each day, collecting all the receipts and performing the accountability of all the transactions that take place each day.
In order to prepare a better report, many companies have also set up a cash management system according to the policies of the business.
What is the purpose of preparing the cash report at the end of the day?
These are few reasons that compel a business to prepare cash report:
- In order to avoid holding too much cash in office, the cash report is prepared at the end of the day and it is deposited in a company’s account.
- If a robbery occurs in the stores, the cash report lets the business know the amount of loss it has incurred.
- If there is any shortage of a particular cashier, it can be discovered easily with the help of cash report.
- The cash report does not allow anyone to take the cash from the drawer before it is documented. This enables the business to avoid undocumented expenses.
- When a customer complains about the change which is too little, the cash report can be consulted to see.
End of Day Cash Register Report
Download File Format: Excel [.xlsx]