Recording Transactions
Business paper from which information is obtained for a journal entry.
What is Source Document?
The number assigned to an account.
What is account number?
Transferring information from a journal entry to a ledger account.
What is Posting?
A form on which a brief message is written to describe a transaction.
What is memorandum?
Information for each transaction recorded in a journal.
What is entry?
A ledger that contains ALL accounts needed to prepare financial statements.
What is a general ledger?
Determining that the amount of cash agrees with the balance of the Cash account in the accounting records.
Who is Proving Cash?
The recording of debit and credit parts of a transaction.
What is double-entry accounting?
Writing an account title and number on the heading of an account.
What is Opening and Account?
The incorrect journal entry should be corrected with an additional journal entry.
What is correcting entry?
A business form ordering a bank to pay cash from a bank account.
What is a check?
The procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current.
What is file maintenance?
A form describing the goods or services sold, the quantity, the price, and the terms of sale.
What is invoice?
A group of accounts.
What is a ledger?