Unit 4 The Accounting Cycle

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4-1 Source Documents 4-2 Journals 4-3 Ledger(T-Accounts) 4-4 Tribal Balance 4-5 Financial Statements
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4-1 Source DocumentsWhat is a source document?  Invoice 

The first document that exist relating to a transaction.Serve as proof for a transaction include date and time  invoices Normally relate to credit transactions list goods or services provided and their prices. Suppliers normally send an invoice with goods(or once services have been delivered) Indicate payment terms(time)  Bills  Receipts  Confirm that services or goods have been received  Normally relate to cash transactions  Deposit Slip  proof that cash, including currency and checks, has been deposited in a bank account Check Counterfoil  This is the part of the check kept by the drawer(writer) of the check as a record of the transaction.  Statement  A report showing the amount owed by one business to another details of transactions between the two businesses 

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