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Commerce · Q118

Accounting

Graduate and Post Graduate · Commerce · question 118

Q118

The most common imprest system is the ______ system

A.
Petty cash
Answer
B.
Cash book
C.
Cash receipts journal
D.
Discount

Answer: Option A

Solution

Answer: Option A
Solution:
The most common imprest system is the Petty cash system. The base characteristic of an imprest system is that a fixed amount is reserved, which after a certain period of time or when circumstances require, because money was spent, it will be replenished.