paper 1100254 1920


A source document is the original record of states the basic facts of the transaction such as its date, purpose (description of transaction), quantity of the goods exchanged, amount of money involved, name of the seller and buyer and so forth.

Uses of source documents

  1. For record purposes
  2. For accounting purposes
  • For auditing purposes
  1. For legal purposes

Types of sources documents

The types of sources documents are:

  1. Purchase order
  2. Cash receipt
  3. Invoice
  4. Cash register
  5. Tapes
  6. Credit
  7. Debit note
  8. Deposit ships
  9. Withdrawal slips
  10. Cheques




  1. Purchase order: This is a statement sent by the buyer to the seller. This order may be inform of a letter or may be prepared on a printed form. Description of the goods to be bought, the amount to be bough, address of delivery, unit price of items and the delivery date must be changed to shown on the order.
  2. Cash receipt: This is written or printed acknowledgement on a piece of paper that money has been received. It is also referred to as sales slips. It shows the date of payment, the person who made the payment, the amount and the signature of the receiver.
  3. Cash register tapes: A cash register is a machine for quick, easy and accurate transaction. Each item sold is clearly indicated and the prices totaled-up. This is registered on the tape and at the end of the


    , becomes a source document.
  4. Cash register book: At the end of the business


    , entries are made into a cash register book from the receipt books. These are found in stores or shopping malls with large volume of ales
  5. Invoice: It is a documents prepared by the seller and sent to the buyer of goods or services. It shows the items of sales, quantity of goods sold, description of supplier, discount granted etc. it is mostly prepared in duplicate. It also serve as a receipt.
  6. Credit note: A credit note is a document prepared and sent by the seller to the buyer for goods or not as ordered.
  7. Debit note: This is written out by the seller to the buyer to correct an undercharge or when goods are not charged on the invoice.
  8. Deposit and Withdrawal slips: These are commonly found in banks and some other financial institutions. Whenever a customer wants to lodge in money into an account, he makes use of a deposit slip issued by the bank. If on the other hand, he or she wishes to withdraw money from a savings account, a withdrawal slip of the bank is filled and presented to the cashier.
  9. Cheques: A cheque is a negotiating instrument instructing a bank to pay a specified sum of money to the person whose name is written on it. Money can be withdrawn either by the account holder authorizes to withdraw. A cheque can be crossed or open.

A cross cheque is a cheque that has two parallel lines drawn with or without any words, generally on the left hand top corner or the middle of the cheque. A crossed cheque is payable only through a collecting banker and not directly at the counter of the bank.

A open cheque is a cheque which is not crossed on the left corner or in the middle and is payable at the counter of the drawee’s bank on presentation of the cheque.




  • What are source documents?
  • What is crossed cheque?

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