Source Documents
What is the abbreviation for the source document of a check?
C
How do you show you have started a new general journal page?
A new page is started by writing the page number in the space provided in the journal heading.
Which account is debited & credited.
When...
Sold services on account to Orange Tree Services.
Debit: Accounts Receivable- Orange Tree Services
Credit: Sales
In what order are transactions recorded in a journal?
By Date
What is the abbreviation for the source document of a receipt?
R
For the following transaction, what is the source document and how is it written in your journal?
Bought supplies on account
from CME, $220.00. Calculator Tape No. 1.
CT 1
calculator tape
Which account is debited & credited.
When...
Paid cash for insurance
Debit: Prepaid Insurance
Credit: Cash
List the four parts of a journal entry.
Date
Debit
Credit
Source document
A form describing the goods or services sold, the quantity, the price, and the terms of sale is called
What are the steps (in order) to preparing a journal entry?
1. write the date
2. write the debit account and amount
3. write the credit account and amount
4. complete the document number column
Which account is debited & credited.
When...
Received cash on account from Orange Tree Services.
Debit: Cash
Credit: Accounts Receivable- Orange Tree Services
When supplies are bought on account, which account is listed on the first line of the entry?
Supplies
Why are source documents important?
Source documents are one way to verify the accuracy of a specific journal entry.
If an entire entry is incorrect and is discovered before the next entry is journalized, how should the incorrect entry be corrected?
Cross out the incorrect entry and write the correct entry on the next lines
List the: accounts impacted, the way they are impacted?
When....
Paid cash on account to CKE.
Debit: Accounts Payable- CKE
Credit: Cash
When cash is paid on account, which account is listed on the second line of the entry?
Cash
What is a source document?
A business paper from which information is obtained for a journal entry
Which account is increased & decreased.
When...
Paid cash to the owner for a withdrawal of equity
Increase: Owner, Drawing
Decrease: Cash
Which account(s) is debited & credited.
When...
Paid cash for communications bills, rent, utilities, and advertising.
Debit: Communications Expense, Rent Expense, Utilities Expense, Advertising Expense
Credit: Cash
What is the source document abbreviation for a sales invoice?
SI or S
If an error is made in an entry that has other entries after it...
1. How do you correct it?
2. Why do you correct it in that way?
1. You cross out the incorrect portions and write the correction above in the same box
2. You do that rather than just crossing it all out and putting it on the following lines because that would cause your entries to be out of order (no longer in chronological order)