What are Cash Accounts in Accounting?

CASH ACCOUNTS

according to Investopedia, in accounting, a cash account, or cash book, may refer to a ledger [d1] in which all cash transactions are recorded. The cash account includes both the cash receipts journal and the cash payment journal.

There are many terms with reference to cash accounts. Some of them are explained below:

Petty cash

an accessible store of money kept by an organization for expenditure [d2] on small items

Charges to the bank

a price asked for bank services

Transaction

an instance of buying or selling something

Brought forward/carried forward

At the beginning of moth balance from the previous month is recorded at the top of the account as brought forward; At the end of month as balance carried forward

Discrepancies

an illogical or surprising lack of compatibility or similarity between two or more facts

Contra

if double entry [d3] has taken place within the cash book the items does not ned to be entered in another book as double entry and is known as contra


 [d1]a book or other collection of financial accounts.

 [d2]the action of spending funds.

 [d3]https://www.investopedia.com/terms/d/double-entry.asp

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