Accounting with Special Journals
1. The five components of an accounting system are: source documents, input
devices, information processors, information storage, and output devices.
2. Source documents contain data about business transactions or events that are put
3. The five fundamental principles of accounting information systems are: (a) control
4. An input device is used to transfer data from source documents to the information
5. Data stored "off-line" are not immediately available to the information processor(s),
while "online" data are immediately available.
6. Output devices provide the means by which information is taken from the
accounting system and made available for use.
7. Four types of transactions usually recorded in special journals are: (a) sales on
credit, (b) purchases on credit, (c) cash receipts, and (d) cash disbursements.
8. The (a) initial and (b) page number of the journal from which the amount is posted is
entered in the Posting Reference column of the ledger account.
9. The double posting does not cause the trial balance to be out of balance because
10. When copies of the sales invoices are used as a sales journal, each invoice total is
posted to the proper customer account in the subsidiary Accounts Receivable