ctcLink Accounting Manual | 40.30.10 Cash and Cash Equivalents

Cash

Cash is considered to be the most liquid (readily available) asset owned by the college and represents readily available cash held.

Cash equivalents

Cash equivalents are short-term, highly liquid investments (readily convertible to known amounts of cash) that are so near to maturity they present an insignificant risk of changes in value resulting from changes in interest rates. Generally only investments with original maturities of three months or less qualify under this definition. Items commonly considered cash equivalents are Local Government Investment Pool (LGIP) deposits, treasury bills, commercial paper, short-term deposits in financial institutions, and money market funds.

40.30.10.2 Chart of Accounts

Cash and Cash Equivalents in the ctcLink chart of accounts are maintained with the account range 1000000-1009999.

Current defined cash accounts

Account	Description
1000010	Deposits in Transit
1000020	Petty Cash
1000030	Dep w/ Escrow Agents and Trustees
1000040	Non-LGIP Invest 0-90 Days
1000050	Investment with LGIP
1000070	Cash - Bank 1
1000080	Cash - Bank 2
1000090	Cash - Bank 3
1000100	Cash - Bank 4
1000110	Cash - Bank 5
1000120	Cash - Bank 6
1000130	Cash - Bank 7
1000140	Cash - Bank 8
1000150	Cash - Bank 9
1000160	Cash - Bank 10
1000199	Internal Cash

For definitions of each account see CLAM 10.30.

40.30.10.3.a Daily Deposits

The State of Washington requires all state agencies to deposit all state funds intact each day all cash receipts collected on the preceding day as prescribed in RCW 43.01.050 unless a specific written waiver is granted by the Office of Financial (OFM).

The State also requires receipts for local accounts to be deposited intact each day for the collections of the preceding day unless a specific written waiver is granted by the Office of Financial Management (OFM), or total cash receipts on hand (exclusive of change accounts) are under $500.

However, regardless of the amount on hand, local account receipts are to be deposited weekly.

40.30.10.3.b Authorized Banks

Local funds must be deposited in a public depository located in the state of Washington and must meet the requirements established by the Public Deposit Protection Commission.  See RCW 39.58.