Answer and Explanation:
The journal entries are shown below:
On Jan 1
Cash $14,000
To Capital owner $14,000
(being cash received)
On Jan 2
Cash $9,500
To Account service revenue $9,500
(being cash received)
On Jan 3
Account receivable $4,200
To Service revenue $4,200
(being service provided on account)
On Jan 4
Advertising expense $700
To Cash $700
(being cash paid is recorded)
On Jan 5
Cash $2,500
To Account receivable $2,500
(being cash received)
On Jan 6
Owner drawings $1,010
To cash $1,010
(being cash paid is recorded)
On jan7
Telephone expense $900
To Account payable $900
(Being telephone bill received)
On Jan 8
Account payable $900
To cash
(being cash paid is recorded)
There is no following, you didn’t supply the choices.
Step to step answers
Answer:
a. Source documents provide control and reliability in an accounting information system.
Explanation:
The source documents are the documents that support all types of business transaction. It can be in terms of bank statement, purchase order, sales order, supplier invoices, etc. It can also known as vouchers
With the help of the source documents the accounting system provides the reliable and controlling of transactions
This is the first step to verify the transactions after that recording, posting of transactions could be done.
