This is the ultimate guide for high school students starting accounting. It covers both terminology and application needed for 8th & 9th graders learning to complete CPJs and CRJs.
Different Types of Source Documents
Doc. Abbrv. Source Document Transaction
Received Cash From:
- The owner (Capital contribution)
e.g. R001 Duplicate Receipt - person paying rent (Rent income)
- a debtor paying his account (Debtor’s
control)
Cash sales of trading stock (also called
CRR Cash Register Roll Merchandise, goods, stock or inventory) or
when a service was rendered.
Cheque and Cheque When a cheque is used as a means of
B/S
Counterfoil payment.
CRR Cash Invoice Cash sale to a customer.
Interest received due to a positive balance on
your bank account.
Interest paid due to a negative balance on
B/S Bank Statements
your bank account.
Electronic Fund Transfer (EFT) - money
deposited directly into your bank via an EFT.
Daily money deposited into your bank
B/S Deposit Slip
account.
1
, Cash Receipts Journal of a Service Undertaking:
1. The Cash Receipts Journal (CRJ) is used to record all money (cash)
received by the business.
2. Source documents used in the CRJ include receipts and the cash
register roll (CRR).
3. The following columns will appear in the CRJ of a service business.
Cash Receipts Journal of >NAME OF THE BUSINESS< for >THE MONTH and YEAR< CRJ
Doc Day Details Fol Analysis of Bank Current Sundry Fol Details
Receipts Income Amount
4. The ‘Analysis of Receipt’ column is added up at the end of the
day’s transactions and then one amount is entered in the bank
column (this is the amount deposited at the bank).
NOTE: Do not repeat the date in the ‘Day’ column if more than one
amount is received on a particular day.
5. If a service was rendered, ‘Services Rendered’ will be recorded in
the detail column while the amount will be recorded in the
‘Current Income’ column.
- The source document for services rendered is cash register roll
(CRR).
6. If income is received for any other reason other than services
rendered, then the ‘Sundry’ column will be used.
7. All columns (except ‘Analysis of Receipts’) are totalled at the end
of the month.
8. At this stage the ‘Fol’ (folio) columns are left empty. They will be
filled in when you transfer the journal onto a General Ledger. They
serve as link from the journal to the General Ledger.
2
, Example of a Cash Receipts Journal:
1. The owner, Mrs Moloi started a business called Moloi CC. She deposited R550 000
into the current bank account as her capital contribution. Receipt 001 was issued
to her.
10. Services Rendered as per cash register roll, R1 200.
12. Mrs. Moloi increaser her capital contribution to R650 000. Receipt 002 was issued
to her.
The cash register roll shows income to the amount of R2 333.
15. Moloi CC received R4 100 from Baby Blue for the use of a room on the premises.
Services rendered for the day amounted to R755.
22. Moloi CC received R4 560 for services rendered.
28. Services rendered as per cash register roll, R8 696.
Important to Remember for the CRJ:
1. A Deposit = Receipt (e.g. R001)
2. Don’t write R00-00, just write 00-00.
3. Services Rendered = CRR
4. Cheque = Bank Statement (B/S)
5. Capital = Receipt (e.g. R001)
6. Rental Income = Receipt (e.g. R001)
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