Under the ‘imprest system of petty cash book’ the petty cashier submits the periodical statement and recovers

The correct answer is: B. actual amount spent

The imprest system of petty cash book is a system of accounting for small cash expenses. Under this system, a petty cashier is given a fixed amount of cash to cover small expenses. The petty cashier keeps a record of all expenses in a petty cash book. At the end of each period, the petty cashier submits a statement to the accounting department showing the actual amount spent. The accounting department then reimburses the petty cashier for the actual amount spent.

The other options are incorrect because:

• Option A: The budget allotted for the period is not necessarily the amount that will be spent. The actual amount spent may be more or less than the budget.
• Option C: The budget allotted plus unspent amount is not the amount that should be reimbursed to the petty cashier. The petty cashier should only be reimbursed for the actual amount spent.
• Option D: Petty amount of cash is not a specific amount. It can vary depending on the needs of the organization.