A medical administrative assistant is closing out the petty cash financial receipts for the month. How much money is usually kept in a petty cash fund?
A. $25.00 to $100.00
B. $100.00 to $175.00
C. $175.00 to $250.00
D. $250.00 to $325.00
Answer (2)
Typically, petty cash funds are kept in the range of $25.00 to $175.00. The most common choice for many businesses is between $100.00 to $175.00, making option B the best answer. This allows for efficient management of small transactions without extensive processing.
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In business settings, a petty cash fund is a small amount of cash that is kept on hand to pay for minor, unexpected expenses rather than writing a check or using a company credit card. These expenses might include office supplies, coffee for a meeting, or postage.
The amount typically kept in a petty cash fund can vary depending on the size of the organization and its specific needs. However, in most cases, the amount ranges between $100.00 and $175.00.
Therefore, in this multiple-choice question, the correct answer would be option (B) $100.00 to $175.00.
