Question

Differentiate between source documents and vouchers.

Answer 1

In general term, source documents and vouchers are termed as same and infact, there is no such difference. A document which provides evidence of the transactions is called Source Document or a voucher. But technically there is a difference a source document is generated automatically when transaction takes place such as cash memo, invoice, sales bill, pay-in-slip, cheque and salary slip etc.

On the other hand voucher may be prepared showing the necessary details and got approved by appropriate authority within the firm. Generally, vouchers are required to be made when there is no documentary proof such as in case of pretty expanses. As vouchers are required to be made in case of petty expenses, there is no set format of accounting vouchers.