Accounting and Record Keeping
Robert Mercado
Which source document do you believe is most important to the accounting process and why?
All source document are extremely important to the Accounting process, such as, receipt stubs, copies of register tapes, memo of cash register totals, respectfully. The checks stubs or copies of checks provides us information about cash payments. On the other hand, receipts stubs, copies of receipts, and the memos of cash register totals will provide information on cash receipts, (Heintz & Parry, Jr;;, 2011).
Others examples of source documents includes, purchases invoices received from suppliers, copies of sales invoices, and copies of sales tickets, respectfully. The purchases invoices, receive by suppliers can provide information about purchases of goods or services. The copies of sales tickets or sales invoices provide us information on sales of good or services provided for a fee, (Heintz & Parry, Jr;;, 2011).
If you were working with a client who was having difficulty providing you with the source documents you needed, how would you explain to the client the importance of obtaining the source documents?
I would explain to the customer that the source document is significant as they will trigger the analysis of what happened and it begins the process of entering transaction in the accounting system. The mentioned source documents also are used as evidence of the business transaction. They also can be used as verifiable evidence of the accounts accuracy. God forbid, it can also use in case of an audit by government agency, such as the I.R.S. (Heintz & Parry, Jr., 2011).
Reference
Heintz, J. A., & Parry, Jr, R. W. (2011). College Accounting Study Guide (20thed.). Mason,
OH: South-Western Cengage Learning.
Which source document do you believe is most important to the accounting process and why?
All source document are extremely important to the Accounting process, such as, receipt stubs, copies of register tapes, memo of cash register totals, respectfully. The checks stubs or copies of checks provides us information about cash payments. On the other hand, receipts stubs, copies of receipts, and the memos of cash register totals will provide information on cash receipts, (Heintz & Parry, Jr;;, 2011).
Others examples of source documents includes, purchases invoices received from suppliers, copies of sales invoices, and copies of sales tickets, respectfully. The purchases invoices, receive by suppliers can provide information about purchases of goods or services. The copies of sales tickets or sales invoices provide us information on sales of good or services provided for a fee, (Heintz & Parry, Jr;;, 2011).
If you were working with a client who was having difficulty providing you with the source documents you needed, how would you explain to the client the importance of obtaining the source documents?
I would explain to the customer that the source document is significant as they will trigger the analysis of what happened and it begins the process of entering transaction in the accounting system. The mentioned source documents also are used as evidence of the business transaction. They also can be used as verifiable evidence of the accounts accuracy. God forbid, it can also use in case of an audit by government agency, such as the I.R.S. (Heintz & Parry, Jr., 2011).
Reference
Heintz, J. A., & Parry, Jr, R. W. (2011). College Accounting Study Guide (20thed.). Mason,
OH: South-Western Cengage Learning.