Cambrige Notes: Principles of Accounting: Source Documents: Vouchers

• A voucher is a written instrument that serves to confirm or witness (vouch) for some fact such as a transaction
• Vouchers that can be defined as an instrument of a redeemable transaction type
• which is worth a certain monetary value
• and which may be spent only for specific reasons or on specific goods
• Examples in business include fuel vouchers issued to management to use at the company’s fuel pump
• Food vouchers can also be used to exchange for food at the canteen
• There are travel vouchers, housing vouchers etc
• A shows goods have bought or services have been rendered, authorizes payment etc
• Sometimes when the business receives an invoice it issues a voucher to a supplier
• This voucher is taken as internal intent to pay an external entity
• In such cases a voucher contain detailed information regarding the payee, the monetary amount of the payment, a description of the transaction, and more
• A voucher can also be used internally as a source document for adjustments to accounts receivables (debtors)
• Vouchers are also used to verify the arithmetical accuracy of various books of accounts
• Airtime vouchers are used by Mobile Network Operators to allow their customers to recharge both prepaid and post paid accounts
• ZESA sells vouchers to customers with prepaid meters
• Vouchers are also given away as gift cards or in competition
• Such vouchers can only be used with a specific retailer and/or for specific goods

To access more topics go to the Cambridge IGCSE Accounting(0452)/O Level Principles of Accounts(7110) Notes.