Source Documents

Question 1

What is the purpose of source documents?

Answer 1

To identify and record transactions.

Question 2

What is the objectivity concept?

Answer 2

Every business transaction that are recorded must always be supported by objective verifiable evidence

Question 3

Which source document is issued by seller to inform buyer of amount to pay for goods or services supplied on credit?

Answer 3

Invoice

Question 4

Which source document is issued by seller to reduce the amount charged on a previous invoice?

Answer 4

Credit note

Question 5

Which source document is issued by seller to increase the amount charged on a previous invoice?

Answer 5

Debit note

Question 6

Which source document is issued to acknowledge receipt of money?

Answer 6

Receipt

Question 7

Which source document is issued to support cash or cheque payment?

Answer 7

Payment voucher

Question 8

Which source document states the deposits and payment made from the bank account and the remaining balance in the bank account?

Answer 8

Bank statement