All receipts and petty payments (including payments of daily workers and employees) are made through cash section. All cash receipts are made by issuing official receipt duly signed by the cashier. The objectives are to ensure:
- All cash received is recorded promptly and accurately.
- All cash received is adequately safe guarded to the bank.
- All cash received is deposited at least the next banking day.
- To maintain cash book properly.
To achieve these objectives the following specific controls are established.
- Only the cashier is authorized to issue pre-numbered official receipt.
- Cash vault under lock and key is used to keep all un-deposited cash receipts safely.
- Collections during the day are deposited to the bank in the same day or in some cases in the following day.
- Surprise cash count.
- Preparation of monthly bank reconciliation.