Which of the following best described the path of a transaction?

Assessment: WAEC SSCE - Financial Accounting - 1997 (Objective) Subject: Financial Accounting

Question 1 Report

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.

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