Found Money!

Deposits are recorded when an amount is required to secure a long-term arrangement for operating the business.  Examples include rent, utilities, large orders for certain special order items such as preprinted materials, uncommon equipment or unique inventory items, etc.  These accounts represent hard cash that has been placed with another party for a period of time.  A regular review should be conducted to ensure that all amounts due to be refunded are done so in a timely manner.  Remember, it is your cash and it should be managed as such!