Originally Posted by
morgaine300
Cash on Hand means literally what it says: cash that you have on hand, not in the bank. I don't know where you go the note to pick cash on hand as the "bank account" for the purchase. Cash on hand isn't a bank account. That's kind of the point.
It's not being specific about what it is. Could be petty cash, or a cash drawer for any type of retailer. It's literally money at the company site.
Don't make it confusing for you entry. It's still an asset. It's still a debit account. It still got paid and went down.