Final Answer:
The statment, Cash receipts of $719 and a cash count of $715 would indicate a cash overage, is False(b).
Step-by-step explanation:
A discrepancy between cash receipts and the cash count can indicate either an overage or a shortage. In this case, with cash receipts of $719 and a cash count of $715, it implies a cash shortage, not an overage.
A cash overage occurs when the counted cash amount exceeds the recorded cash receipts. In contrast, a cash shortage, as seen here, happens when the counted cash is less than the recorded receipts. The $4 variance between the cash receipts ($719) and the counted cash ($715) implies that there is $4 less cash on hand than anticipated based on the recorded receipts.
Detecting discrepancies between cash receipts and the actual cash count is crucial for maintaining accurate financial records and ensuring the integrity of cash handling processes. A shortage might occur due to various reasons, such as errors in recording transactions, misplacement of cash, or potential theft.
To rectify this situation, a thorough investigation into the discrepancy is necessary. This involves scrutinizing transaction records, verifying cash handling procedures, and conducting a detailed recount to identify any discrepancies or errors. Addressing these discrepancies promptly is essential to maintain accurate financial records and uphold the integrity of cash management within an organization. Hence the statment is false.