Advanced Accounting. Chapter 5: A Voucher System

Transcription

1 Advanced Accunting Chapter 5: A Vucher System An accunting system includes prcedures fr recrding and reprting accurate and up-t-date financial inf Shuld als include prcedures t assist management in cntrlling daily peratins Cash is the asset mst likely t be misused because its wnership is easily transferred Ways t cntrl cash: stre in a safe place, make depsits regularly, apprve all cash payments Vucher: a business frm used t shw an authrized persn s apprval fr a cash payment Vucher system: a set f prcedures fr cntrlling cash payments by preparing and apprving s befre payments are made In a system, NO check can be issued withut a prperly authrized Sectin 1: Vuchers and Vucher Registers When receive an invice, a verificatin frm is stamped n the invice this verificatin frm is then filled in as the steps are cmpleted Each persn ding a part f the wrk places a check mark next t the item verified and initials the verificatin frm t shw respnsibility fr that part After an invice is checked fr accuracy, a is prepared fr each invice received frm a vendr When a system is used, the surce dcument fr an apprved cash payment is the Instead f Accunts Payable use Vuchers Payable. Als d nt use an Accunts Payable ledger instead use an unpaid s file In a system, Vuchers Payable is used t recrd ALL amunts t be paid by check nt just amunts f items bught n accunt The nrmal balance is n the credit side f Vuchers Payable Unpaid s file shws all amunts wed and t whm they are wed A frm is printed n the utside f a t summarize the cntents and prvide space fr apprving payments After the invice is summarized n the, the is flded s that related dcuments can be placed inside smetimes called a packet Prenumbered s serve as an additinal cntrl within the system

2 Five areas t recrd inf: 1. Payee Inf 2. Accunts affected inf 3. Vucher apprval 4. Inf abut where is recrded 5. Payment inf Sectins 1-3 are cmpleted at the time the is prepared Sectin 1 Payee Infrmatin Use verified invice t enter inf, discunt due date is calculated using the date the invice is dated. Mst checks received within 2 days s payment date is 2 days befre the discunt due date. After sectin 1 cmpleted the number is recrded n the invice s verificatin stamp Sectin 2 Accunts Affected: Sectin 2 lists preprinted accunt titles fr accunts mst ften affected by cash payments Only the amunt f the invice needs t be entered in Sectin 2 Ttal debits and credits must be calculated and entered Sectin 3 Vucher Apprval As a duble check, certain peple are authrized t apprve s befre they are jurnalized Apprve it be signing name in this sectin After a has been apprved, it is recrded in the register similar t and replaced the Purchases jurnal A missing number shws that a has nt been recrded Vucher registers have special clumns: Vuchers Payable credit, Purchases debit, Supplies debits fr the different types f supplies, everything else is recrded in the general clumns with the name f the accunt listed Sectin 4 When the Vucher is Recrded Persn wh recrd the in the register als des this sectin Persn indicates what page the inf is recrded in the register Persn als initials the space n the After jurnalized and nted in sectin 4, the is filed in the unpaid s file. Placed in file in rder f payment due date Separate accunts recrded in the General Debit and Credit clumns f a register are psted individually during the mnth

3 Ttals f the special clumns in the register are psted t the general ledger accunts. Sectin 2: Vucher Check and Check Registers Businesses pay each by check Check and are presented t a persn authrized t apprve payment Vucher check: a check with space fr writing details abut a cash payment Prepare checks in duplicate riginal t the payee and ther kept as the surce dcument fr the transactin Recrding the details f n a check: recrd #, payee s invice number, amunt f invice, amunt f discunt, net amunt that check is written fr Payee keeps the detachable prtin f the check fr their recrds Sectin 5 Payment f a Vucher Persn wh prepares the check als cmpletes this part f Ntes the date paid, the check number, and the amunt After verificatin f crrect inf, sign the check and initials this sectin Persn wh prepares the check als usually recrds the inf needed int the register Date paid and check number are written in the Paid clumns f the register n the same line as the riginal entry fr the Check is sent t the payee and the is filed in the paid s file accrding t the name f the vendr Check register: a jurnal used in a system t recrd cash payments Check register is similar t and replaces a cash payments jurnal Use a check register t maintain the checking accunt balance Tw bank clumns in the check register ne t keep a running balance and the ther is t indicate depsits made Only three general ledger accunts are impacted by a cash payment: Vuchers Payable debit, Purchases Discunt credit, and Cash credit. Each check recrded as a debit t VP and credit t Cash. Only will use the Purchases Discunt if there was a discunt taken At the end f the mnth the special clumns are ttaled and psted. NO separate amunts are psted because n general debit r credit clumns Tw Bank clumns are NOT ttaled, ruled, r psted Cash is prved if the last amunt in the Balance clumn f the check register equals the balance in the general ledger cash accunt Starting a New Page in a Check Register:

4 During the mnth ttals f VP, PD, Cash, and the Bank Balance are brught frward. N amunt is brught frward fr Bank Depsits At the beginning f the mnth nly the Bank Balance is brught frward because special amunt ttals have already been psted Sectin 3: Selected Transactins in a Vucher System A purchases returns and allwances transactin reduces the ttal amunt wed fr an invice Changing the Original Amunt f a Vucher because f a Purchase Return 1. Remve the riginal frm the unpaid s file. 2. Write Canceled acrss the Sectin 5 3. Prepare a new 4. Place the canceled and the debit memrandum (which indicates the PRA) inside the new 5. In the register, n the same line as the riginal, write See Vchr # (f the new ) in the Paid clumns. 6. Recrd the new n the next available line f the register 1. Enter the new amunt in the Vuchers Payable credit clumn 2. Write the title Vuchers Payable in the General accunt title clumn n the same line as the new and debit it in the General Debit clumn fr the amunt f the canceled 3. On the next line belw Vuchers Payable in the General accunt title clumn, write Purchases Returns and Allwances and credit it fr the amunt f the discunt in the General Credit clumn 7. File the new by its payment date in the unpaid s file. The payment date is based n the terms f the riginal invice s the new has the same due date as the canceled Recrding Payrll in a Vucher Register Infrmatin frm a payrll register is used in preparing a fr payrll A payrll register is needed fr several purpses, s it can NOT be placed inside a fr payrll. Instead, it is summarized n the inside f the

5 The inside allws additinal space s that mre detailed inf abut the transactin can be nted Outside f the is cmpleted as nrmal On the left side f the Vucher Register write the date f the payrll and the wrd Payrll under the Payee clumn, then enter the amunt f the check t be written fr the payrll in Vuchers Payable credit On the right side f the Vucher Register write the Salary Expense fr each department (debits), and all f the Taxes that are credited An entry als has t be made t the General Jurnal t recrd the emplyer s payrll taxes just like frm Chapter 3 Later when the payrll taxes are due, s are prepared, apprved and paid. One is prepared fr state and ne fr federal taxes Advantages f the system Only a few peple can authrize and apprve payments. Helps prtect and cntrl cash A jacket prvides a cnvenient way t file invices and related business papers fr future reference Unpaid s are filed by their payment dates t help ensure prmpt payment An unpaid s file and a paid s file eliminate psting t an accunts payable ledger A paid s file prvides three different and easy ways t find inf abut a paid If knw #, lk in the register If knw check #, lk in the check register If knw the payee name, lk in the paid s file under the payee name