Vocab
A form for recording transactions in chronological order
Journal
a business paper from which information is obtained for a journal entry
source document
Received cash from owner E.J. Peters as an investment. _______ and EJ Peters, Capital are affected
Cash
Give two examples of source documents.
Checks, sales invoice, memorandum, letters.
True or False: Dollars and cents signs and decimal points should be used when writing amounts on ruled accounting pages.
False
a form on which a brief message is written describing a transaction
memorandum
a business form ordering a bank to pay cash from a bank account
check
Which accounts are affected?
Paid cash for insurance
Cash and prepaid insurance
Cash
How many lines are required for each general journal entry?
2
Information for each transaction recorded in a journal
Entry
a form describing the goods or services sold, the quantity, and the price
invoice
Which two accounts are affected?
Received cash from sales.
Cash and sales
Check
True
A journal with tow amount columns in which all kinds of entries can be recorded
General Journal
an invoice used as a source document for recording a sale on account
sales invoice
Which accounts are affected?
Purchased supplies from Suburban Office Supplies on account.
Supplies and Accounts Payable - Suburban Office Supplies
Which accounts are affected when paying cash for rent?
Rent Expense and Cash
Which account comes first in a journal entry? (Debit or credit)
Debit
the recording of debit and credit parts of a transaction
double-entry accounting
a business form giving written acknowledgement for cash received
receipt
Which accounts are affected?
Received cash on account from R. Sandell.
Cash and Accounts Receivable - R. Sandell.
What is the source document used for cash received from transactions other than sales?
Receipt
Name 5 accounts we've used.
Answers vary