Cash must be recorded immediately when it is received or disbursed and documentation should be retained so the transaction can be tracked from when it was initiated

Cash should be stored in a secure place until it can be deposited to the corporate bank account

Regular bank deposits should be made to ensure a minimal amount of cash is kept on site

A limited number of employees should have access to the physical cash and those responsible for the physical cash should not be responsible for entering the transactions (segregation of duties)

A bank reconciliation compares the balance on the bank statement to the balance in the general ledger to ensure that no errors have been made or transactions have been missed

Amounts that are present on the bank statement but do not appear in the general ledger must be added or deducted from the general ledger through the recording of journal entries

Amounts added or deducted by the company in the general ledger but do not appear in the bank statement must be added or deducted from the bank balance