Which statement best describes a policy for handling change funds and receipts?

• A. A daily receipt must be signed for by the person receiving it
• B. Receipts are not needed for change funds
• C. Signatures on change fund receipts are optional
• D. Change funds should be kept in a locked desk without any record

Answer: (A)

Accounts for change funds rely on strong documentation and clear ownership. The best practice is that the daily receipt for the change fund must be signed by the person receiving it. That signature creates a verifiable link between the cash, the amount, and the individual responsible for it, establishing a solid trail for day‑to‑day reconciliation. With a signed receipt, you can quickly verify that the cash on hand matches the recorded disbursements, and you have a concrete point of reference if any discrepancy arises. This helps prevent misplacement or misuse of funds and makes it easier to audit and investigate any irregularities.

The other ideas undermine accountability. If receipts aren’t required, or signatures are optional, there’s no reliable record tying each cash advance to a person and a specific amount. Storing the change fund without a proper record eliminates the traceability needed for accurate reconciliation and audits.