Final answer:
In a voucher system, the sum of all unpaid vouchers equals the firm's total voucher payable balance. This shows the total amount owed by the company to its suppliers or service providers and is tracked as part of the company's payment system.
Step-by-step explanation:
In a voucher system, the sum of all unpaid vouchers in the voucher register typically equals the firm's total voucher payable balance. This means that it represents the total amount the company owes to its suppliers or service providers for goods and services received but not yet paid for. The voucher system is a critical part of a company's payment system, helping to ensure that all financial obligations are tracked and that the company maintains good relationships with its vendors.
Each voucher details how much money is owed, to whom, and for what services or products. When these vouchers are unpaid, they remain as liabilities in the company's accounting system. The sum of these unpaid vouchers does not represent funds that the company expects to receive (total voucher receivable balance), nor does it reflect expenses (total voucher expense) or revenues (total voucher revenue); it solely reflects the current payables.