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Investigation about missing vouchers in file if any.Įvery alteration in voucher must be authenticated by concerned officer. To verify that proper certification of voucher should be there by any responsible officer of the company. To check and investigate the books of accounts if they are in the name of Director, Manager, Partner or any other employee of the company. Receipt should clearly mention “advance payment” if it is do. Period of payment should be there on receipt. Voucher should be properly numbered serially and arrangement of vouchers accordingly.Įvery checked voucher should be tick marked with sign.Īmount of receipt should be same in words and in figure. Payment received through Banking Channelsįollowing points need to be considered regarding vouching − Quotations, purchase orders, purchase bills, goods inward register, etc.ĭemand note, cash receipt, cash memo, etc.ĭuplicate or carbon copy of cash receipt, contracts and correspondence with payee, etc.Ĭheques, counterfoils, bank statements, etc. Sales order, sales invoice, goods outward register, cash receipt, bank pay-in-slip, etc. Like purchase Bill, cash memo, pay-in-slip, etc.Ĭollateral Voucher − Copies of supporting documents which are not available in original are collateral voucher like duplicate or carbon copy of sale invoice. Primary Voucher − Original copy of written supporting document is called primary voucher. All such types of documentary evidence are known as vouchers. Vouching includes routine checking which is a mechanical checking, whereas vouching is made on the basis of documentary evidence.Ī voucher may be a sales bill, purchase bill, payment receipt, pay-in slip, etc. Routine checking covers the checking of every carry forward, posting to ledger account and balancing of account. If adequate internal control system exists, the Auditor may choose to do test checking instead of complete vouching. Intelligent and faithful vouching will establish reliability on financial statements, i.e., Profit and Loss account and Balance Sheet of any organization. Similarly, vouching is base of all auditing process.Įfficiency of vouching will decide the success of audit.Īny errors and frauds are easily detectable if vouching is conducting in searching and intelligent manner. If, original entry is wrong, it will affect every process of accounting entry and its impact will be till the end result.

Vouching is equally important as passing of original entry in the books of accounts. Following points show the importance of vouching − In case of negligence in vouching, the Auditor will be held responsible he cannot escape from his duty, if he has done vouching carelessly.

Vouching forms the base for auditing and has an important part of Auditor’s duty. To check the accuracy of accounting transactions. To verify and confirm that the entries are recorded according to the capital and the revenue nature or not. To verify whether voucher is processed through all the stages of Internal Check system properly.

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To verify that transactions are free from errors or frauds. To verify that all the documentary evidence is authenticated and related to business transactions only.

To see whether recorded transactions are duly supported by documentary evidence or not. To check whether all the business transactions are properly recorded in the books of accounts or not. In auditing process, based on evidence, there are two main functionsĬollection of evidences − through observation, confirmation, inspection, inquiry.Įvaluation of evidences − with relevance, adequacy and validity.įollowing are the main objectives of vouching − Thus, auditing is incomplete without vouching. In case of unavailability of proper supporting documents, the Auditor may have all reasons to doubt about errors or fraud or manipulation. The Auditor judges the authenticity, of the accounting entries using the technique of vouching. Accounting entries made in the books must be supported by documentary evidence and inspection of that evidence is called vouching.

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