In accounting, cash is defined as cash in hand and demand deposits. This includes all sources of money that are readily available to an entity such as banknotes, coins, and deposit amounts withdrawable on demand. Cash is a distinct category of assets that does not include liquid and very liquid items (cash equivalents) that are not, by nature, readily available to an entity (such as commercial paper, Treasury bills, and short-term government bonds). Broadly, cash consists of bills/ banknotes, coins, bank balances, money orders, and even checks (particularly cash checks).

On balance sheet, cash is presented as a current asset and hence is increased on the debit side and decreased on the credit side.