Cash

Cash is the physical form of a currency, it usually comes in the form of coins and notes.

When is cash used? Although more and more being replaced by digital transactions cash can still be used in many business like retailers.

Checks - When accepting cash it's important to check the cash is not fraudulent. Machines and counterfeit detector pens can be used to detect for this.

Issues

• Fake notes
• Theft
• Must be kept in a secure place like a safe.
• Cash should be deposited in a bank to keep it safe and to manage cash flow.
• Cash records should be reconciled on a regular basis to the amount of cash held to ensure records are accurate.

Timing of payment - Cash is available to use immediately and will be available to spend from a bank account as soon as it is deposited.

Discrepancies - Because of its immediate availability of cash anyone handling it needs to be trained how to handle it correctly, ensuring the right amount of change is given and issuing the right documents to customers. Customer's should also be encouraged to check their change immediately.