SOURCE DOCUMENTS

 Accounting entries are made from source documents. Remember: A source document provides
details of a transaction and the evidence that the transaction has occurred.

Typical source documents used in business are:

SOURCE DOCUMENT EVIDENCE PROVIDED
Receipts Receipt of money
Cheques Payment of money
Cash Register Docket Individual cash sale
Cash Register Summary Total cash sales for the day for the business
Bank Statement Electronic funds transfer and bank charges
Tax Invoice Sale or service provided, plus applicable GST
Adjustment/Credit Note Return or allowances, plus GST refund
From source documents to journals:
If the complete accounting process is followed, information about a transaction is collected on a source
document, then this information is analysed and entered into a journal.

RECEIPTS
COMPONENTS OF THE
SOURCE DOCUMENT
1) Date of transaction
2) Receipt number
3) Amount received in
words and numerals
4) Name of business
receiving the money
5) Party paying the money
6) Purpose of the
transaction
7) Method of payment

When is this source document

used?
_________________________________________________________
Activity 1

Transaction Analysis:
What is the date of the transaction? __________________________________________________________
What is the receipt number of the transaction? ______________________________________________
What was the purpose of the transaction? ____________________________________________________
What was the amount? ________________________________________________________________
What is the GST amount? ________________________________________________________________
Who paying the money? ________________________________________________________________
Write the transaction:
________________________________________________________________________________________
The General Journal Entry for this transaction would be:
DATE PARTICULARS Ref DEBIT CREDIT
Apr 9 Cash at Bank 660.00
GST Collected 60.00
Service Fees Revenue 600.00
(Received cash for service performed)

CHEQUES

COMPONENTS OF THE
SOURCE DOCUMENT
1) Date of transaction
2) Cheque number
3) Amount paid in words
and numerals
4) Name of business
paying the money
5) Party the cheque is
being paid to
6) Purpose of the
transaction
7) Bank name

When is this source document used? _________________________________________________________

Activity 2

Transaction Analysis:
What is the date of the transaction? __________________________________________________________
What is the cheque number of the transaction? ______________________________________________
What was the purpose of the transaction? ____________________________________________________
What was the amount? ________________________________________________________________
What was the amount of GST? __________________________________________________________
Who is being paid? ______________________________________________________________________
Write the transaction:
________________________________________________________________________________________
The General Journal Entry for this transaction would be:
DATE PARTICULARS Ref DEBIT CREDIT
Apr 2 Stationery 70.00
4
GST Credits Received 7.00
Cash at Bank 77.00
(Paid for stationery with cash)

CASH REGISTER SUMMARY

COMPONENTS OF THE
SOURCE DOCUMENT
1) Date of transaction
2) Name of source
document
3) GST amount
4) Cost price of goods sold
5) Net amount of the goods
sold
6) Gross amount of the TOTAL - $440
goods sold

When is this source document used? _________________________________________________________

Activity 3

Transaction Analysis:
What is the date of the transaction? __________________________________________________________
What was the purpose of the transaction? ____________________________________________________
What was the amount? ________________________________________________________________
What was the cost price of the goods sold? ____________________________________________________
Write the transaction:
________________________________________________________________________________________
The General Journal Entry for this transaction would be:
DATE PARTICULARS Ref DEBIT CREDIT
Apr 1 Cash at Bank 675.00
4
Sales 675.00
(Sold inventories for cash)
Cost of goods sold 400.00
Inventories 400.00
(Cost of goods sold)

TAX INVOICE

COMPONENTS OF THE
SOURCE DOCUMENT
1) Date of transaction
2) Name of source document
3) Business selling the goods
4) Invoice number
5) Items purchased
6) If GST has been included
7) Customer name and
address
8) Total cost of the goods
9) Address of the seller

When is this source document used?

 By our Business:

____________________________________________________________________

 By other Businesses: ________________________________________________________________

Activity 4

Transaction Analysis:
What is the date of the transaction? __________________________________________________________
What is the tax invoice number? __________________________________________________________
What was the purpose of the transaction? ____________________________________________________
What was the amount? ________________________________________________________________
What was the amount of GST? __________________________________________________________
Who is required to pay this tax invoice? ____________________________________________________
Write the transaction:
________________________________________________________________________________________

The General Journal entry for this transaction would be:

DATE PARTICULARS Fo DEBIT CREDIT
May 1 A/C Receivable – Frank and Co 495.00
4
GST Collected 45.00
Sales 450.00
(Sale of GST inclusive inventories on credit)
Activity 5

Transaction Analysis:
What is the date of the transaction? __________________________________________________________
What is the tax invoice number? __________________________________________________________
What was the purpose of the transaction? ____________________________________________________
What was the amount? ________________________________________________________________
What was the GST amount? ________________________________________________________________
Who is required to pay this tax invoice? ____________________________________________________
Write the transaction:
________________________________________________________________________________________

This is the General Journal Entry for this transaction:

DATE PARTICULARS Fo DEBIT CREDIT
May 4 Inventories 10 000.00
GST Credits Received 1 000.00
A/C Payable – Motoroil Ltd 11 000.00
(Purchased of GST inclusive inventories on credit)
ADJUSTMENT NOTE/CREDIT NOTE

COMPONENTS OF THE
SOURCE DOCUMENT
1) Date of transaction
2) Name of source document
3) Business selling the goods
4) Adjustment note number
5) Items returned
6) If GST has been included
7) Customer name and
address
8) Total cost of the goods
9) Address of the seller

When is this source document used?

_________________________________ __
Activity 6

Transaction Analysis:
What is the date of the transaction? __________________________________________________________
What is the adjustment note number? ____________________________________________________
What was the purpose of the transaction? ____________________________________________________
What was the amount? ________________________________________________________________
Was GST involved in this transaction? ____________________________________________________
Who returned the goods? ________________________________________________________________
Write the transaction:
________________________________________________________________________________________
This is the General Journal Entry for this transaction:
DATE PARTICULARS Ref DEBIT CREDIT
Apr 1 A/C Payable – Freshfood Ltd 200.00
3
Inventories 200.00
(Purchased of GST inclusive inventories on credit)