What documentation must cardholders maintain for each GPC transaction?

What documentation must cardholders maintain for each GPC transaction?

• A. Purchase receipts and transaction records
• B. Monthly credit statements only
• C. Vendor catalogs and promotional materials
• D. Email confirmations of purchases

Answer: (A)

Maintaining purchase receipts and transaction records is essential for cardholders to ensure proper tracking and accountability for GPC transactions. These documents serve as the primary evidence of the purchases made, which is critical for accurate financial reporting and auditing purposes. Detailed records allow for verification of the items purchased against budget allocations and assist in confirming compliance with applicable laws and regulations surrounding government spending. Having purchase receipts ensures that each transaction can be substantiated, providing a clear audit trail that demonstrates the legitimacy and necessity of the expenses incurred. Transaction records, often maintained in conjunction with the receipts, provide additional details such as the date of the transaction, amount spent, and vendor information, aligning with required financial management practices. This comprehensive approach to documentation helps protect the cardholder and the government from potential inquiries or audits regarding the use of funds. In contrast, relying solely on monthly credit statements, vendor catalogs, or email confirmations does not provide a complete and transparent account of transactions. Monthly credit statements only summarize total expenditures without the necessary details to substantiate each purchase. Promotional materials and vendor catalogs do not serve as valid documentation for transactions but merely showcase product offerings. Email confirmations, while useful, do not offer the same level of detail and may not encompass all aspects of the transaction.

Maintaining purchase receipts and transaction records is essential for cardholders to ensure proper tracking and accountability for GPC transactions. These documents serve as the primary evidence of the purchases made, which is critical for accurate financial reporting and auditing purposes. Detailed records allow for verification of the items purchased against budget allocations and assist in confirming compliance with applicable laws and regulations surrounding government spending.

Having purchase receipts ensures that each transaction can be substantiated, providing a clear audit trail that demonstrates the legitimacy and necessity of the expenses incurred. Transaction records, often maintained in conjunction with the receipts, provide additional details such as the date of the transaction, amount spent, and vendor information, aligning with required financial management practices. This comprehensive approach to documentation helps protect the cardholder and the government from potential inquiries or audits regarding the use of funds.

In contrast, relying solely on monthly credit statements, vendor catalogs, or email confirmations does not provide a complete and transparent account of transactions. Monthly credit statements only summarize total expenditures without the necessary details to substantiate each purchase. Promotional materials and vendor catalogs do not serve as valid documentation for transactions but merely showcase product offerings. Email confirmations, while useful, do not offer the same level of detail and may not encompass all aspects of the transaction.