3.1 Name the source document that is provided for the following transactions:
3.1.1 When goods are sold on credit
3.1.2 Proof of a deposit made into the bank account
3.1.3 To acknowledge that money has been received by the business
3.1.4 Consumables bought for cash at an agricultural convenient store. - NSC Agricultural Management Practices - Question 3 - 2018 - Paper 1
Question 3
3.1 Name the source document that is provided for the following transactions:
3.1.1 When goods are sold on credit
3.1.2 Proof of a deposit made into the bank account... show full transcript
Worked Solution & Example Answer:3.1 Name the source document that is provided for the following transactions:
3.1.1 When goods are sold on credit
3.1.2 Proof of a deposit made into the bank account
3.1.3 To acknowledge that money has been received by the business
3.1.4 Consumables bought for cash at an agricultural convenient store. - NSC Agricultural Management Practices - Question 3 - 2018 - Paper 1
Step 1
3.1.1 When goods are sold on credit
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Answer
The source document for sales made on credit is typically an invoice. It provides details of the sale, including the goods or services sold, the amount due, and payment terms.
Step 2
3.1.2 Proof of a deposit made into the bank account
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Answer
For deposits made into the bank account, the relevant source document is a deposit slip. This consists of details regarding the amount deposited and may include information about the source of the funds.
Step 3
3.1.3 To acknowledge that money has been received by the business
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Answer
The source document used to acknowledge receipt of money is a receipt. This document confirms that a transaction has taken place and specifies the amount received.
Step 4
3.1.4 Consumables bought for cash at an agricultural convenient store
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Answer
When consumables are purchased for cash, the source document is a cash slip or till slip. This slip details the items purchased and the total amount paid.
