- bank reconciliationA control procedure to establish and verify the correct cash balance via identification of errors, irregularities, and adjustments
- bank statementThe document received from a bank which summarizes deposits and other credits, and checks and other debits to a bank account
- cashItems acceptable to a bank for deposit and free from restrictions for satisfying current debts; includes coins, currency, bank deposits, etc.
- A major component of a cash planning system that depicts cash inflows and outflows for a stated period of time
- cash equivalentsShort-term interest-earning financial instruments that are deemed to be highly secure and will convert back into cash within 90 days
- compensating balanceAn amount that must be left on deposit and cannot be withdrawn
- debit cardTransactions are equivalent to an electronically generated check that results in an almost immediate withdrawal of funds.
- deposits in transitReceipts entered on company records but not yet posted by the bank
- derivativesInvestments accounted for a fair value that generally derive their value from some other item; examples include commodity futures, options, and so forth
- fair value accountingSometimes called "mark-to-market;" to record an investment at its fair value and recognize changes in value as they occur
- NSF checkNon-sufficient funds check; a customer check returned for lack of funds (a "hot check")
- outstanding checksChecks entered on company records but not yet cleared by the bank
- petty cashA fund established for making small payments that are impractical to pay by check; also known as imprest cash fund
- proof of cashA detailed bank reconciliation that verifies not only beginning and end balances, but also validates deposits and withdrawals during the month
