IMPREST FUND Meaning and
Definition
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An imprest fund refers to a predetermined and fixed amount of money that is set aside for the purpose of meeting smaller miscellaneous expenses or urgent unforeseen costs. It functions as a petty cash reserve specifically designated to cover small expenses that may arise in the course of regular business operations. The imprest fund is typically managed by an individual who is responsible for disbursing the funds and ensuring proper documentation for every expense made.
The nature of an imprest fund is such that it is replenished periodically to maintain a constant balance, usually through reimbursement or by submitting expense reports for approval. The fund initially starts with a specific amount and is reduced as expenses are incurred until it reaches a certain threshold, at which point it is replenished to the original amount. This cyclical process allows for efficient handling of minor expenditures without having to go through cumbersome bureaucratic procedures for each transaction.
Imprest funds are commonly used in organizations such as government agencies, educational institutions, and businesses where petty cash transactions are a regular occurrence. They provide a flexible means of dealing with small and immediate financial needs, ensuring that necessary expenses can be promptly met while maintaining proper financial controls and accountability.
Common Misspellings for IMPREST FUND
- umprest fund
- jmprest fund
- kmprest fund
- omprest fund
- 9mprest fund
- 8mprest fund
- inprest fund
- ikprest fund
- ijprest fund
- imorest fund
- imlrest fund
- im0rest fund
- impeest fund
- impdest fund
- impfest fund
- imptest fund
- imp5est fund
- imp4est fund
- imprwst fund
- imprsst fund
Etymology of IMPREST FUND
The word "Imprest fund" originates from the combination of two terms, "Imprest" and "fund".
The term "Imprest" comes from the Latin word "impressum", meaning "to impress or imprint". In medieval Latin, it evolved into "imprehendere", which means "to entrust or deliver". From there, the word made its way into English as "Imprest", with the sense of "a sum of money advanced to someone for a specific purpose or use". It was commonly used to refer to a monetary advance given to government officials or employees to cover their expenses.
The word "fund" has its roots in the Middle English word "fond", which means "a sum of money collected or set aside for a specific purpose". It comes from the Latin word "fons" or "fundus", which also means "a source or bottom".
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