Exam 23: The Voucher System

The primary difference between the gross method and the net method of recording invoices is:

Supporting documents for a voucher system are:

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement in which the account balance is reported, and in Column 4 the account's nature (permanent/temporary). -

If Vouchers Payable has been debited, it is most likely that:

A voucher system is designed to control a company's:

In the voucher system, the purchases journal is replaced by the:

Emily purchased $2,000 of merchandise on April 1 and recorded it in the voucher register. On April 8, $400 of the merchandise proved to be defective. The entry would be to:

Clip Company bought $6,500 of merchandise from Tarpon Corporation, terms 2/15, n/45. The journal entry to record the payment under the gross method approach after the discount period would be to:

In a voucher system, a schedule of vouchers payable is essentially the same as a schedule of accounts payable.

The book of original entry in a voucher system is the:

Items are listed in the voucher register in the order liabilities are incurred.

In a voucher system, the source documents include the invoice, receiving report, purchase order, and purchase requisition.

Vouchers should be filed in the tickler file ________ rather than alphabetically.

Given the following accounts: Indicate the account(s)to be debited and credited to record the following transactions. -Paid voucher #424. Debit ________ & ________ & ________ Credit ________ & ________ & ________

Fox Company uses a voucher system. The following transactions were completed: Required: Prepare journal entries to record the above transactions. Assume Fox Company uses the gross approach method for recording purchases. Omit explanations.

The entry to record the approval of a withdrawal by the owner will include:

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement in which the account balance is reported, and in Column 4 the account's nature (permanent/temporary). -

When a voucher transaction does not fit in the special columns of the voucher register, it will be recorded in the:

On the balance sheet, Vouchers Payable would be:

On May 1, Garcia Corporation bought $6,000 of merchandise from Morris Corporation, terms 2/10, n/30. Garcia paid the invoice on May 6. The journal entry to record the payment under the net approach method would be to: