Petty cash petty Expenses is very important Part of Financial Accounting. all those expense which are paying on cash base is called petty expenses, petty means small.For Petty Cash and Petty Expenses Click on “Accounting Info”, “ledger” In the Accounts Name Write Cash A/c like “Cash On Hand” In Under Option select “Current Asset”. At the end also Put Beginning Balances. like Rupees 25000.
Now we are going to create Petty expenses. for this purpose 1st we will create expenses in Groups petty cash Petty expenses watch the video, go to “Accounts Info” then click on “Groups” Give Name as Petty expense in the Under Option Write Indirect expense. Now we will create different petty expenses from the Ledger. like entertainment expense, fuel expense, stationary expense rent expense. for all the these petty expense In under option select Petty expenses. As all the expenses has been created, then go to the accounting voucher. click on Ledger and select journal from the sidebar write all the expenses as Debit and petty cash as credit.All the expenses for the specific period are included in Profit and loss A/c or Income statement.which is deducted from the gross profit. from income statement also Payroll expenses income tax,