[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-seo-650488-105":3,"detail-sidebar-cat-0-en-105":81,"doc-detail-650488-en":130},{"code":4,"msg":5,"data":6},0,"ok",{"site_id":7,"language":8,"slug":9,"title":10,"keywords":11,"description":12,"schema_data":13,"social_meta":74,"head_meta":76,"extra_data":78,"updated_unix":80},105,"en","module-13-cash-books","Module 1.3 - Cash Books","","Module 1.3 introduces cash books as a primary internal accounting record for small businesses, focusing on cash receipts and cash payments. It explains why a cash book is essential for capturing income and expenses, supporting tax and financial reporting, and separating cash transactions from credit transactions to improve collection analysis. The module also covers typical cash book formats, cross-references using cheque/receipt/invoice numbers, VAT/GST treatment, and periodic reconciliation with bank statements.",{"@graph":14,"@context":73},[15,34,56],{"@type":16,"itemListElement":17},"BreadcrumbList",[18,23,27,31],{"item":19,"name":20,"@type":21,"position":22},"https://docshare.wps.com","Home","ListItem",1,{"item":24,"name":25,"@type":21,"position":26},"https://docshare.wps.com/document/","Document",2,{"item":28,"name":29,"@type":21,"position":30},"https://docshare.wps.com/document/research-report/","Research & Report",3,{"item":32,"name":10,"@type":21,"position":33},"https://docshare.wps.com/document/module-13-cash-books/650488/",4,{"url":32,"name":10,"@type":35,"image":36,"author":41,"headline":10,"publisher":44,"fileFormat":47,"inLanguage":8,"description":12,"dateModified":48,"datePublished":49,"encodingFormat":47,"isAccessibleForFree":50,"interactionStatistic":51},"DigitalDocument",{"url":37,"@type":38,"width":39,"height":40},"https://docshare.wps.com/thumbnails/module-13-cash-books/650488.png","ImageObject",300,407,{"name":42,"@type":43},"Bintang","Person",{"url":19,"name":45,"@type":46},"DocShare","Organization","application/pdf","2026-10-30","2026-10-24",true,{"@type":52,"interactionType":53,"userInteractionCount":55},"InteractionCounter",{"@type":54},"ViewAction",5,{"@type":57,"mainEntity":58},"FAQPage",[59,65,69],{"name":60,"@type":61,"acceptedAnswer":62},"What is the purpose of a cash book in small business accounting?","Question",{"text":63,"@type":64},"A cash book provides the primary internal record for cash transactions, helping assess business performance and supporting tax and financial reporting.","Answer",{"name":66,"@type":61,"acceptedAnswer":67},"How do cash receipts and cash payments books differ?",{"text":68,"@type":64},"The cash receipts book records all amounts received, while the cash payments book records all amounts paid; together they cover business cash inflows and outflows.",{"name":70,"@type":61,"acceptedAnswer":71},"Why is bank reconciliation required, and how often should it be done?",{"text":72,"@type":64},"The cash book must be reconciled periodically with the bank statement, and the frequency depends on the volume and size of transactions.","https://schema.org",{"og:url":32,"og:type":75,"og:title":10,"og:site_name":45,"og:description":12},"article",{"robots":77,"canonical":32},"index,follow",{"doc_id":79,"site_id":7},650488,1793124041,{"code":4,"msg":82,"data":83},"success",[84,88,92,96,100,105,110,114,119,122,126],{"id":22,"doc_module":4,"doc_module_name":25,"category_name":85,"show_sort_weight":86,"slug":87},"Story & Novel",90,"story-novel",{"id":26,"doc_module":4,"doc_module_name":25,"category_name":89,"show_sort_weight":90,"slug":91},"Literature",80,"literature",{"id":33,"doc_module":4,"doc_module_name":25,"category_name":93,"show_sort_weight":94,"slug":95},"Exam",70,"exam",{"id":55,"doc_module":4,"doc_module_name":25,"category_name":97,"show_sort_weight":98,"slug":99},"Comic",60,"comic",{"id":101,"doc_module":4,"doc_module_name":25,"category_name":102,"show_sort_weight":103,"slug":104},6,"Technology",50,"technology",{"id":106,"doc_module":4,"doc_module_name":25,"category_name":107,"show_sort_weight":108,"slug":109},7,"Healthcare",40,"healthcare",{"id":111,"doc_module":4,"doc_module_name":25,"category_name":29,"show_sort_weight":112,"slug":113},8,30,"research-report",{"id":115,"doc_module":4,"doc_module_name":25,"category_name":116,"show_sort_weight":117,"slug":118},9,"Religion & Spirituality",20,"religion-spirituality",{"id":117,"doc_module":4,"doc_module_name":25,"category_name":120,"show_sort_weight":117,"slug":121},"World Cup","world-cup",{"id":123,"doc_module":4,"doc_module_name":25,"category_name":124,"show_sort_weight":123,"slug":125},10,"Lifestyle","lifestyle",{"id":127,"doc_module":4,"doc_module_name":25,"category_name":128,"show_sort_weight":55,"slug":129},19,"General","general",{"code":4,"msg":82,"data":131},{"doc_id":79,"user_id":132,"nickname":42,"user_avatar":133,"doc_module":4,"category_id":111,"category_name":29,"doc_title":10,"doc_description":12,"doc_content":134,"file_id":135,"file_url":136,"file_type":137,"file_size":138,"view_count":55,"is_deleted":4,"is_public":22,"is_downloadable":22,"audit_status":22,"page_count":139,"language":140,"language_code":8,"site_id":7,"html_lang":8,"table_of_contents":141,"faqs":142,"seo_title":143,"seo_description":12,"update_tm":144,"read_time":145},962085564381,"https://ap-avatar.wpscdn.com/davatar_6f874abed73319feea01a86fa6f0fab8","CASH BOOKS  \nOctober 27  \n2016  \nThis Module introduces participants to the single most important accounting document that a small business may prepare for the internal recording of business transaction. It introduces the cash receipts & payments books & shows how entries are made.  \nMODULE 1.3  \nContents  \nPURPOSE ................................................................................................................................................. 3  \nWHY A CASH BOOK? ............................................................................................................................... 4  \nCASH RECEIPTS BOOK ............................................................................................................................. 5  \nCASH PAYMENTS BOOK .......................................................................................................................... 8  \nCASH BOOK EXERCISE ........................................................................................................................... 11  \nBANK RECONCILIATION......................................................................................................................... 14  \nANSWERS TO ACTIVITIES ...................................................................................................................... 20  \nPURPOSE  \nThis Module is devoted to the preparation of the primary internal record, the cash book. If the business does not have a bank account, this may be the only record available to assess the success of the business.  \nThe cash book has two parts as follows:  \n􀁸 Cash receipt book, &  \n􀁸 Cash payments book  \nRemember that if credit is granted to customers or received from suppliers, in addition to this record, some debtor& creditor records are also necessaryto manage working capital where goods or services are bought & sold.Some form of inventory records isalso required regardless to prepare financial statements.  \nThe following points are drawn out:  \n􀁸 Recording of cash sales & purchases should be separated from credit sales & purchases to best enable calculation of collection ratios  \n􀁸 Using a cheque, receipt number or invoice number as a cross reference to the source document for receipts & payments  \n􀁸 Use of cash book headings to group similar transactions  \n􀁸 Recording of VAT/GST where applicable only for a registered business.  \n􀁸 Being aware of what transactions attract VAT/GST or not as these may vary from one country to another  \nParticipants have an opportunity to record entries in the cash book.  \nThe Module is completed by a look at the reconciliation process with the bank account. A business must always do the reconciliation on a regular basis. The frequency depends on the volume & size of business transactions being processed.  \nOn completion of this Module participants should be able to keep a cash book for their business & regularly reconciling it with the business bank statement.  \nWHY A CASH BOOK?  \n\n| WHY A CASH BOOK \u003Cbr>Because it:\u003Cbr>􀁹 records all income and expense transactions\u003Cbr>􀁹 is referred to as a journal in sophisticated systems\u003Cbr>􀁹 records information that is required for completing the tax & other financial (e.g. customs) returns |  |\n| --- | --- |\n| 􀁹 there are two components to a cash book:\u003Cbr>􀁹 cash receipts book– records all amounts received by the business\u003Cbr>􀁹 cash payments book – records all amounts paid by the business. | |\n\nThe cash book must be a complete record of all business transactions, in & out of the business. It must be separate from the personal activities of the owner, or owners.  \nThe cash book must be reconciled periodically with the bank statement. This procedure is considered later in this Module. In a full double entry accounting system the cash book is referred to as a Journal.  \nIt includes all cash flows for:  \n􀁸 Assets  \n􀁸 Liabilities  \n􀁸 Equity  \n􀁸 Revenues  \n􀁸 Expenses  \nIMPORTANT: For a business paying taxes on a cash basis, the cash","cbCaitS9IlMBAgOi","https://ap.wps.com/l/cbCaitS9IlMBAgOi","pdf",1562413,21,"English","# Module 1.3 Contents\n## Purpose\n## Why a Cash Book?\n## Cash Receipts Book\n## Cash Payments Book\n## Cash Book Exercise\n## Bank Reconciliation\n## Answers to Activities","[{\"question\":\"What is the purpose of a cash book in small business accounting?\",\"answer\":\"A cash book provides the primary internal record for cash transactions, helping assess business performance and supporting tax and financial reporting.\"},{\"question\":\"How do cash receipts and cash payments books differ?\",\"answer\":\"The cash receipts book records all amounts received, while the cash payments book records all amounts paid; together they cover business cash inflows and outflows.\"},{\"question\":\"Why is bank reconciliation required, and how often should it be done?\",\"answer\":\"The cash book must be reconciled periodically with the bank statement, and the frequency depends on the volume and size of transactions.\"}]","Module 1.3 - Cash Books | PDF",1792829840,53]