One of the most important activities of any company, especially at the accounting level, is the reconciliation of its accounts. It is a process in which what is recorded in the accounting books is compared with the actual balances, and it is especially relevant when we talk about treasury management.
In this sense, one of the most common procedures within businesses to contrast their accounting information with reality is cash counting. But do you know what it is and how it is done? And, above all, do you know what type of devices can help you in this process? Below, we explain all the details.
What is a cash count?
Cash accounting is an internal control procedure within the treasury that allows companies and businesses to contrast the accounting data in their cash accounts with what they actually have in cash.
This process involves counting and verifying the cash in the cash register, verifying that money movements are correctly recorded in the accounting system, and making adjustments if there are differences.
Why are cash counts carried out?
Cash audits are fundamental processes for companies and businesses because they allow accounting errors, fraud and embezzlement to be detected in their cash records.
In addition, they help ensure that transactions are recorded correctly and that the cash on hand is the same as what is recorded in the accounting books.
In this way, cash counts are a key tool to guarantee the financial integrity and transparency of the company.