BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -The above statement is correct because the memorandum is defined as the document reflecting the purchases made using a debit card; therefore, it is considered the source document for electronic funds transfer.

Detailed explanation-2: -The source document for an electronic funds transfer is a memorandum. The source document for a debit card purchase is a memorandum. A petty cash fund is used for making large cash payments without writing checks.

Detailed explanation-3: -The source document for an electronic funds transfer is a memorandum. The petty cash fund is a liability with a normal debit balance. Ownership of a check cannot be transferred. Using a memorandum as the source document for a dishonored check is an application of the accounting concept Objective Evidence.

Detailed explanation-4: -EFTs include, but are not limited to point-of-sale (POS) transfers; automated teller machine (ATM) transfers; direct deposits or withdrawals of funds; transfers initiated by telephone; and transfers resulting from debit card transactions, whether or not initiated through an electronic terminal.

Detailed explanation-5: -Electronic funds transfer (EFT) is the electronic transfer of money from one bank account to another, either within a single financial institution or across multiple institutions, via computer-based systems, without the direct intervention of bank staff.