1. Source Documents

2. Source Documents Documents that show PROOF of a transaction
Companies use a variety of source documents to record business transactions
Source documents are referenced in the General Journal as part of the explanation
For example,
Cash
Accounts Receivable
Received payment on account, cheque 147.

3. Principle of Objectivity
Source documents assist accountants in satisfying the Principle of Objectivity, another one of the IFRS
Principle of Objectivity requires that there should be objective evidence to back up all recorded business transactions
Source documents provide objective, verifiable evidence to support the value placed on transactions

4. When a business makes a sale:
Cash Sales Slip
Copy of sales receipt from a cash sale
DR Cash, CR Sales Revenue
Sales Invoice
An invoice given to a customer for a sale on account
DR Accounts Receivable, CR Sales Revenue
Cash Receipt List
A list of all the cash sales and payments on account for a day
DR Cash, CR Sales Revenue or Accounts Receivable

5. When a business makes a purchase:
Purchase Invoice
A receipt from a supplier to show a purchase made by the business on account
DR Asset or Expense, CR Accounts Payable
Cheque Copy
Proof that a business wrote a cheque to pay a bill or to make a purchase
DR Accounts Payable or Asset or Expense, CR Cash
Business can also receive a cheque for a cash sale or as payment on account
DR Cash, CR Accounts Receivable or Sales Revenue

6. Bank source documents:
Bank Debit Memo
Expense to a business (business OWES bank money)
DR Bank Expense, CR Cash
Bank Credit Memo
Revenue for a business (bank OWES business money)
DR Cash, CR Interest Earned (a revenue account)