Question

Vouchers, invoice, bills, cash memos are evidence of day-to-day transactions. These documents are called ______.

Options

• raw documents

• source document

• account documents

• none of these

Answer 1

Vouchers, invoice, bills, cash memos are evidence of day-to-day transactions. These documents are called source document.

Explanation:

Vouchers, invoices, bills, cash memos, etc., are documents that provide evidence of day-to-day business transactions. They form the original basis for recording transactions in the accounting books. Such documents are called source documents because they initiate the accounting process and serve as proof or evidence for each transaction recorded in the books of account.