All of the following statements regarding source documents are true except:
A)Source documents provide the basic information processed by an accounting system.
B)Source documents include bank statements, cash register files, and employee earnings records.
C)Source documents are insignificant and play a minor role in the reliability of the information system.
D)Source documents can be paper or electronic files.
E)Source documents can include Web communications.

Question

Quizplus · Accepted Answer

Source documents are extremely important in an accounting system as they provide the necessary information for recording financial transactions accurately. They can be physical or electronic and can include various types of documents such as receipts, invoices, purchase orders, and bank statements. Therefore, option C is incorrect as it states that source documents are insignificant and play a minor role in the reliability of the information system.

All of the Following Statements Regarding Source Documents Are True