Use the following information to answer questions 52 to 54 Taiwo is a sole trader who keeps his petty cash on the imprest system, the imprest amount being #...

The imprest system fixes petty cash at a set amount, here \( \text{#}4{,}000 \). At the start of December, \( \text{#}517 \) remained in hand, and the cashier was reimbursed \( \text{#}3{,}483 \) to restore the float back to the full imprest amount: \( \text{#}517 + \text{#}3{,}483 = \text{#}4{,}000 \).

During the month, the following payments were made out of petty cash:

Under the imprest system, the amount reimbursed at the end of the period is always exactly equal to the total spent during that period, because reimbursement restores the float back up to the fixed imprest amount. Adding all the payments made during the month gives:

This total, \( \text{#}3{,}728 \), is the amount that must be reimbursed at the end of the month, since it is precisely what has been drawn down from the \( \text{#}4{,}000 \) float. Reimbursing this figure brings the imprest back to \( \text{#}4{,}000 \) ready for the following month.

Examination reminder: in an imprest system, always sum every payment made during the period; that total, not the opening balance or the earlier mid-month top-up, is what gets reimbursed at period end.