Week 8 DQ 1 - consuming and costly. It can also cause...

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Source documents are written evidence of business transactions. They can include checks, invoices, receipts, bank statements, and other documentation. It is important that these documents be correct as they are the basis of the information entered into the accounting system. If a document is incorrect the information entered into the accounting system will be wrong. These documents are also used for other aspects of the business such as used to determine product costs or service fees for clients. Having source documents that are incorrect can cause many problems for the company in correcting, it can be time
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Unformatted text preview: consuming and costly. It can also cause problems between vendors and clients. These problems can range from losing money on services or products sold to losing customers and gaining a bad reputation. The problem that may occur with vendors is they may refuse to offer discounts or sell on credit. Other issues with vendors are that you may not want to do business with them anymore because the documentation you received is incorrect....
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This note was uploaded on 11/09/2010 for the course ACC 250 Accounting taught by Professor Several during the Spring '10 term at University of Phoenix.

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