What would be an example of a contra account that would relate to cash

What is a contra account? What would be an example of a contra account that would relate to cash and why would it be important when analyzing cash flow?

Solution preview

In accounting, the contra account is used to offset the balance of a related account (Investopedia, n.d.). For the transactions that made to the contra account, they are represented in the financial statements of a company under the related account. The contra account plays a vital role as far as accounting is concerned………………………..

APA

197 words