SOURCE DOCUMENTS

Source documents: are business documents that record business transactions. Source documents are proof
that transactions occurred and can be used as a reference in the future.

Cash Sales Slip: is a business form showing the details of a transaction in which goods or services are sold
to a customer for CASH. Usually, there is an original and at least one copy.

ECHO BAY P.O. Box 298

VANCOUVER, BC Station 8
V7C 8P7
Phone: 604-842-9999
MASTHEAD Fax: 604-842-9966

MARINE

DATE March 4 20 --

NAME: D. Peterson
ADDRESS: Mountain Road

QTY DESCRIPTION PRICE AMOUNT

1 Dome light 150-7610 8.95 8 95
1 Horseshoe Life Ring 405-1066 26.95 26 95

SUBTOTAL 35 90
HST 4 67
RECEIVED ABOVE IN GOOD ORDER TOTAL 40 57
D. Peterson
CASH SALES SLIP 1234

JOURNAL ENTRY FOR A CASH SALES SLIP

DR CR
Mar. 4 Bank 40.57
HST Payable 4.67
Sales 35.90
Cash Sales Slip #1234
Sales Invoice: is a business form showing the details of a transaction in which goods or services are sold
on account (no payment). Usually, there is an original and several copies.

ECHO BAY P.O. Box 298

VANCOUVER, BC Station 8
V7C 8P7
Phone: 604-842-9999
MASTHEAD Fax: 604-842-9966

MARINE
SOLD TO: S. & S. Boatworks DATE Mar. 5, 20 –
16 Culver Street
Vancouver, BC TERMS Net 30 days
V7E 8P4
QTY DESCRIPTION PRICE AMOUNT
6 776-10B .5 cm x .4 cm rigging links 2.20 13 20
6 776-11B 1 cm x .5 cm rigging links 3.00 18 00
2 730-975 12 cm swivel deck blocks 27.25 54 50
1 309-500 3 burner gimbal mounted stove 750.00 750 00

SUBTOTAL 835 70
HST 108 64
TOTAL 944 34

SALES INVOICE CUSTOMER’S COPY NO. 7198

JOURNAL ENTRY FOR A SALES INVOICE (ISSUER)

DR CR
Mar. 5 A/R – S. & S. Boatworks 944.34
HST Payable 108.64
Sales 835.70
Sales Invoice #7198

JOURNAL ENTRY FOR A SALES INVOICE (RECIPIENT)

DR CR
Mar. 5 Sailing Equipment 835.70
HST Recoverable 108.64
A/P – Masthead Marine 944.34
Purchase Invoice #7198
Point of Sale Summaries: Debit and credit cards are common forms of payment. A key piece of technology
that makes them convenient is the point of sale terminal. A point of sale (POS)
terminal is a computerized sales register that allows a business and its customers
to exchange funds electronically. At the end of business day, an accounting clerk
can use the POS terminal to print at least source document. One document is the
Host Reconciliation/Card summary which provides sales information for a
particular day. You can see the POS summary reveals the sales activities of three
cards: Visa, MasterCard, and debit cards. It is referred to as a host reconciliation
because the business (the host) will compare the total at the bottom ($743.18) to
an amount that will appear on the bank statement. (Bank statements are prepared
monthly by the business’ financial institution.)

Host Reconciliation
Card Summary
October 30, 20—

SUBTOTAL HST TOTAL

Visa 7 Sale 412.50 53.63 466.13
1 Return -27.50 -3.58 -31.08
0 Void

M/C 2 Sale 32.56 4.23 36.79

0 Return
0 Void

Debit 6 Sale 325.62 42.33 367.95

0 Return
0 Void
743.18 96.61 839.79

JOURNAL ENTRY FOR “POS” SUMMARY

DR CR
Oct. 30 Bank 839.79
HST Payable 96.61
Sales 743.18
POS Summary
Purchase Invoice: is a business form representing a purchase of goods or service on account. It is the
name used in the office of the purchaser to differentiate between its own sale
invoices and those of its suppliers.

IN ACCOUNT WITH
GENERAL MASTHEAD MARINE
ENGINEERING P.O. Box 298 Station 8
Vancouver, BC
400 WEST BLVD V7C 8P7
VANCOUVER, BC
V7C 1T3

DATE March 6, 20 – TERMS Net 30 days

INSTRUCTIONS HOURS LABOUR

Replace lift chain and repair 5

cogwheel on mobile hoist

Tune up 2

7 140.00
QTY PART DESCRIPTION PRICE AMOUNT
NO.
1 3217 chain 57.00 57 20
1 3641 connecting link 5.00 5 00
1 4729 cogwheel 27.00 27 50
1 2728 axle bearing 12.50 12 50

TOTAL PARTS 101 50

SUBTOTAL 241 50
HST 31 40
TOTAL 272 90

NO. 4123

JOURNAL ENTRY FOR A PURCHASE INVOICE

DR CR
Mar. 6 Equipment Repairs 241.50
HST Recoverable 31.40
A/P – General Engineering 272.90
Purchase Invoice #4123
Cheque Copy: is a document supporting the accounting entry for a payment by cheque. Cheques
may be issued for any number of reasons: cash purchase, wages, owner’s
withdrawals, and payments on account. Most cheques are issued to pay for items
bought on account and supported by purchase invoices on file.

MASTHEAD ECHO BAY

Box 298, Station 8
01011

MARINE Vancouver, BC March 6 20 –

PAY TO THE
ORDER OF Sterling Spars_____________________________________________________ $ 1 802.90

One Thousand, Eight Hundred and Two-----------------------------------------------------------90/100 DOLLARS

TO: THE COMMERCIAL BANK

CITY HARBOUR BRANCH
VANCOUVER, BC _David Scott______________________
MASTHEAD MARINE

0542  014562  0  01680

Inv. 342 Jan. 12, 20- $ 950.06
Inv. 406 Feb. 3, 20- 852.84
_________
Total $ 1 802.90

MASTHEAD MARINE 01011

ACCOUNTING DEPARTMENT COPY

FILE COPY

JOURNAL ENTRY FOR A CHEQUE COPY (ISSUER)

DR CR
Mar. 6 A/P – Sterling Spars 1802.90
Bank 1802.90
Cheque copy #01011

JOURNAL ENTRY FOR A CHEQUE COPY (RECIPIENT)

DR CR
Mar. 6 Bank 1802.90
A/R – Masthead Marine 1802.90
Cash receipt
Cash Receipts Daily Summary: is a business paper that lists the money coming from customers.
The cash receipts list is the source document for the accounting
entries for cash receipts. This list shows the names of the
customers, the dollar amounts sent (remittances), and what the
amounts are paying for in each case.

Masthead Marine

Cash Receipts Daily Summary, March 9, 20--

A. Baldwin On Account $ 375.00

F. Perri Inv. 7010 965.52
Pier 10 Marina Inv. 6419 $426.10
Inv. 6731 375.62 801.72
Total $2 142.24

Prepared by Jan Marshall

JOURNAL ENTRY FOR A CASH RECEIPTS DAILY SUMMARY

DR CR
Mar. 9 Bank 2142.24
A/R – A. Baldwin 375.00
A/R – F. Perri 965.52
A/R – Pier 10 Marina 801.72
Cash receipt
Bank Debit Advice: is a bank document informing the business of a decrease made in the business’
bank account.

THE COMMERCIAL BANK

CITY HARBOUR BRANCH
VANCOUVER, BC

ADVICE TO CUSTOMER
DESIG. NO ACCOUNT NUMBER T/C
0220 0216754 74____________________________________ Mar 9 20 ___
YOUR ACCOUNT HAS TODAY BEEN DEBITED WITH THE FOLLOWING AMOUNT
_________________________________________________________________________________________

Interest on bank loan 113.50

TOTAL 113.50

TO

Masthead Marine
Box 298, Station 8 ____C. W._____
Vancouver, BC MANAGER
V7C 8P7

JOURNAL ENTRY FOR A BANK DEBIT ADVICE

DR CR
Mar. 9 Interest Expense 113.50
Bank 113.50
Bank debit memo
Bank Credit Advice: is a bank document informing the business of an increase made in the business’ bank
account.

THE COMMERCIAL BANK

CITY HARBOUR BRANCH
VANCOUVER, BC

ADVICE TO CUSTOMER
DESIG. NO ACCOUNT NUMBER T/C
0220 0216754 74____________________________________ Mar 19 20 ___
YOUR ACCOUNT HAS TODAY BEEN CREDITED WITH THE FOLLOWING AMOUNT
_________________________________________________________________________________________

Interest on investment 133.50

TOTAL 133.50

TO

Masthead Marine
Box 298, Station 8 ____C. W._____
Vancouver, BC MANAGER
V7C 8P7

JOURNAL ENTRY FOR A BANK CREDIT ADVICE

DR CR
Mar. 19 Interest Earned 133.50
Bank 133.50
Bank credit memo