Source Documents

Question 1

What is a source document (3)

Answer 1

• a document issued/received by entity, proving a transaction happened
  • contains information about the nature of the transaction
  • used to enter in the book of 1st entry/journals

Question 2

Give 3 e.g. transactions of the following natures of transaction: cash receipts

Answer 2

• cash received from the owner as a capital contribution
• cash received for sales/ delivering services
• cash received for sundary expenses e.g. rent income
• cash deposited directly into account

Question 3

Give 3 e.g. transactions of the following natures of transaction: cash payments

Answer 3

• payments made per cheque
• payments made per debit order/ stop order
• money/cash paid directly into account

Question 4

What should be on all source documents? (6)

Answer 4

• date of transaction
• document number in numerical order
• name of to whom the payment was made
• amount in figures and sometimes in words
• short description of transaction e.g. goods sold
• sometimes the signature of the person issuing document

Question 5

Define a CRR (4)

Answer 5

A Cash Register Roll

• speeds up transaction as document not hand prepared
• its a summary of all sale transaction for the day
• record total sales/services rendered in CRJ
• some print a short description of the good sold other has just the price

Question 6

Discus the duplicate receipt (3)

Answer 6

• its electrically issued or by hand
• receipt used when money is received
• original goes to the customer and the duplicate used by accountant to record the transaction in the CRJ

Question 7

Define a bank statement (1)

Answer 7

A statement from the bank where the business keeps their current account (cheque account)

Question 8

Define a EFT voucher (2)

Answer 8

• electrical voucher issued by bank when a transaction made via internet baking
• its printed and used as a source document

Question 9

Define a cash invoice

Answer 9

A document that specifies sales between a buyer and seller

It usually includes the quality, a short description of the good and price

Question 10

Define a cheque counterfoil (1)

Answer 10

Part if the back cheque kept by the issuer

On which record of the transaction is made

Question 11

Define a cheque (1)

Answer 11

A written order giving ghe bank/drawee permission to pay a specific amount of money from a drawes account into the beneficiary s account in cash

Question 12

Name the 4 things a bank statement indicates (4)

Answer 12

• opening balance - amount on the first day
• closing amount - amount of the last day
• deposit - on the credit side
• payments - on de debit side