Originating data in accounting must be supported by a source document to adhere to the objectivity principle. Source documents provide proof that a transaction occurred and include items like receipts, invoices, checks, and bank memos. All source documents contain key details like the date, amounts, account affected (debit or credit), and a document number to uniquely identify the transaction.

1. STEP 1
Originating Data

2. Step 1: Originating Data
 Any time you originate data you must keep
The Objectivity Principle in mind.
 All accounting data must be supported by a
source document.
 Different people looking at the evidence(source
document) will arrive at the same values for the
transaction.
 Transactions will be based on fact, not on
personal opinion or feeling.

3. Step 1: Originating Data
 Data is originated from source documents.
 Source documents are business papers from
which information is obtained for a
transaction. And provides proof the
transaction occurred.
 There are many types of source documents.
They include;

4. Step 1: Originating Data
 Cheques
 Receipts
 Cash Register Tape
 Sales Invoice
 Purchase Invoice
 Bank Memo
 Memo

5. Cheques
 Cheques – Usually indicate that you have
paid cash for something. (Credit Cash)

6. Receipts
 Receipts will usually indicate that you have
received cash or something. (Debit Cash)

7. Cash Register Tape
 Usually indicate that you had some type of
sale (Debit Cash, Credit Sales)

8. Sales Invoice
Also known as a bill. Usually
means that you have sold
something on account (Debit A/R,
Credit Sales)

9. Purchase Invoice
Usually means that you have
bought something and put it on
account. (Credit Accounts Payable)

10. Bank Memo
 Bank did something that will affect your
account. (debit/credit cash)

11. Memo
 A note prepared by the business outlining
important transaction or financial information.

12. Source Documents
 All source documents will include the
following criteria.
 Date
 Amounts
 Reade (Debit or Credit)
 Document Number

13. Assignments
 Syme Textbook
 Page 51 #3
 Page 52 #4
 Page 71 #6
 Page 176 #3
 Analyzing a Source Document
 Identify the Source Documents
 Summary of Source Documents