Chapter 4 Flashcards
This is used for external purposes-these are the business’ sales invoice, cash sales invoice, charge invoice official receipt provisional receipt, etc.
business document
The Bureau of Internal Revenue controls these documents.
business document
The person who makes the printed copy of these documents is usually responsible for their registration to the BIR.
business document
This is necessary because this is one of the control measures adopted by our government to monitor and impose taxes to those who are doing business in our country.
business document
Failure to register business documents with the BIR has due penalty as per?
the tax code.
They are issued to parties who are transacting with business enterprises.
business document
This are used for internal purpose and they do not need to be registered with the BIR.
Business forms
They are used for the purpose of consistency.
Business forms
Examples of these forms are the payroll forms, journal voucher cash receipt voucher, check voucher, sales report form, purchase order, canvass sheet, requisition form, receiving report, warehouse issue slips, etc.
Business forms
Their purpose is for the company to establish a good internal control of all their business activities.
Business documents and Business forms
Aside from the presentation, the BIR also requires (what) and (what) of the essential information that should be found in the document.
Accuracy and completeness
Sales invoice is sometimes called?
cash sales invoice,
charge invoice, or
service invoice.
It documents the services rendered or the commodities sold by the customer.
Sales invoice
Like the official receipt, all information can be located at the option of the designing accountant.
Sales invoice
Other information can also be incorporated in the invoice depending on the need the business enterprise.
Sales invoice
A receipt that is similar to the official receipt.
Provisional receipt
The difference between provisional and official receipt.
The only difference is that the collectors issue the document upon arriving at the office and endorse the collection to the company cashier, who will then acknowledge it by issuing an official receipt.
Also, some companies use provisional receipt if the payment made by the customer is in a form of
check
When the check collection is deposited and cleared with the bank, an official receipt will be issued. True or False?
True
The provisional receipt is considered as temporary receipt and therefore, cannot be considered as a good evidence to be kept. True or False?
True
What are the 6 components of official receipt?
- The name of the business enterprise, the address, and the proprietor (if single proprietorship)
- The Tax Identification Number (TIN).
- The amount.
- The form of payment.
- The signature of the authorized person to accept collection.
- The control number.
Usually placed below the name, address, and proprietorship.
Tax Identification Number (TIN).
Must be written in words and in figures and the information, which will indicate the nature of the payment, the nature of payment is very important for the posting purpose in the subsidiary ledger.
Amount
If the collection is made in cash,
then the same amount must be seen as deposit in the bank as cash deposit.
If it is a check collection,
the same must be seen as deposit in bank as check deposit. If the check is returned for insufficient fund then, it is easy to check and trace.
This is also very important because the company will not honor unauthorized signature.
Signature of the authorized person to accept collection.
Can be written anywhere within the document.
control number
The form where the company journalizes its transactions.
journal voucher
If it is a cash receipt transaction,
use the cash receipt voucher;
if it is a payment transaction,
use the cash payment voucher,
if it relates to other than receipt or payment,
use the journal voucher.
Examples of business documents
are the business’ sales invoice, provisional receipt, official receipt, among others.
