Which of the following best described the path of a transaction?
Answer Details
The correct answer is "Source documents to Journal to Ledger".
When a transaction occurs, it is initially recorded on a source document such as a sales invoice or receipt. The information from the source document is then transferred to the journal as a journal entry, which summarizes the transaction. The journal entries are then posted to the ledger accounts, where each account is updated with the relevant information.
Therefore, the correct path of a transaction is from source documents to journal to ledger.