Source Documents Quiz

A source document is

• The origin of the information that is recorded into the accounting books

• The origin of the information that is taken from the accounting books

• Not the origin of information that is recorded into the accounting books

When a customer buys goods on credit from the supplier, the supplier issues a document called ____________

Invoice is the source document for both

• cash sales and cash purchases

• Cash sales and credit purchase

• Credit sales and credit purchases

◦Trade discount is the __________ in the selling price of the goods and allows businesses to buy in bulk from wholesalers at a cheaper rate.

◦Cash discount is given by the supplier on _______ payments.

What is a reason for issuing a debit note?

• faulty and damaged goods

• the price is under charged

• goods are in good condition

A credit note is issued by the

• Customer

• Supplier

a monthly report sent by the supplier to the customer, giving summary of the transactions taken place during the month is called _____________________

Bank and cash documents include:

• Chequebook

• Pay in slip

• invoice

• receipts

___________ act as a proof of receipt or payment of cash.