Which option best completes the following statement?
Not only are source documents used to accurately record transactions, but they also prove the legitimacy of the transactions, serving as a "paper trail in the case of
a(n).
appraisal
O audit
O inspection
O review



Answer :

Final answer:

Source documents are essential for recording transactions accurately and proving their legitimacy, particularly in audits.


Explanation:

Documentary Importance and Record Keeping

Source documents play a crucial role in accurately recording transactions and providing evidence of their legitimacy. They create a paper trail that is vital in cases of audits to verify the transactions and ensure compliance with regulations and standards.

Documenting transactions through source documents is not just a formality but a necessary practice for quality assurance, protecting firms from litigation, and facilitating access to international markets.


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