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Petty cash

roopa (b.com) (364 Points)

20 May 2017

Hello , its roopa here . i wanted to know whether its required to maintain all cash vouchers for day to day expenses made in business in had copy ? or is it fine if we just prepare petty cash account in excel sheet without maintaining such cash voucher book ?Will the auditor ask for such had copy for audit purpose ?Please help me thanks in Advance

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4 Replies

sowmya (audit assistant) (228 Points)
Replied 20 May 2017

yes audit involves vouching of even petty cash expenses. hence it's better to maintain the support in physical documents along with excel

roopa (b.com) (364 Points)
Replied 20 May 2017

Thanks for the quick reply . But is it mandatory to maintain the same as per law ?

client is not interested to manintain hard copies . He prefers all soft copies and even auditor prefers soft copies .

How do i maintain the same ?

please reply

Fatin Nizami (338 Points)
Replied 20 May 2017

Its always preferable to keep all your documents in hard copy ...whether you keep it in soft copies too is additional benefit for you....System crashes and data losses are not a new thing for the accounting department...Good Luck Roopa!!