Assess finalization of hospital accounting books data in f.y .19-20.but cash on hand balance is very low(15 lacs).
question:
Assess How many ways of cash on hand balance increased producure.
If you want to know if the low balance of 15 lakhs has increased or not? Subtract it from previous years cash in hand balance.
supposing last year balance= 10 lakhs
this years= 15 lakhs
increase of cash in hand balance is 5 lakhs and this shows that expenses have increased this year than previous year and that is why your holding extra cash.
This is also a valid reason. The more the expenses, the more cash in hand.
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