Answered: When the amount of cash in the cash…

When the amount of cash in the cash register exceeds the amount in the cash register tapes, the difference is debited to Cash Over and Short account.___________. True or false?

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter7: Accounting For Cash

Section: Chapter Questions

Problem 14RQ: What does a debit balance in the cash short and over account represent? What does a credit balance...

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Concept explainers

Cash Book

So, before coming to the topic of cash books, I will let you briefly explain about the cash so that you all can be familiar with the word cash. Cash comes under the category of the current asset which is used as a medium of exchange for all the financial transactions in the firm. Cash is something that is universally accepted as a mode of payment. So, now comes to the topic i.e., cash book.

Question

When the amount of cash in the cash register exceeds the amount in the cash register tapes, the difference is debited to Cash Over and Short account.___________. True or false?

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Accounting for Cash and cash equivalents

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