What kind of account is cash over and short?
The term cash over and short refers to an expense account that is used to report overages and shortages to an imprest account such as petty cash. The cash over and short account is used to record the difference between the expected cash balance and the actual cash balance in the imprest account.Click to see…
The term cash over and short refers to an expense account that is used to report overages and shortages to an imprest account such as petty cash. The cash over and short account is used to record the difference between the expected cash balance and the actual cash balance in the imprest account.Click to see full answer. Accordingly, how do you record cash over and short?Debit your cash short and over account in your journal entry by the amount of cash short. This represents an expense. Alternatively, credit your cash short and over account by the amount of cash over. This represents a revenue.Furthermore, how do you record theft of cash in accounting? The entire amount of stolen cash is deducted from owner’s equity. Create a theft expense account on the income statement. Record the entire amount of stolen cash as a theft expense and/or the net amount of assets less accumulated depreciation. Secondly, what is a cash short? Definition of Cash Short and Over Account The account Cash Short and Over is an income statement account (within a company’s general ledger) in which shortages or overages of cash are recorded.What is short banking?Shorting is a strategy used when an investor anticipates the price of a security will fall in the short term. In common practice, short sellers borrow shares of stock from an investment bank or other financial institution, paying a fee to borrow the shares while the short position is in place.
