A customer makes a purchase to be paid at a later date. Which form should be used for the transaction?

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Multiple Choice

A customer makes a purchase to be paid at a later date. Which form should be used for the transaction?

Explanation:
When a customer will pay you at a later date, you use an invoice. An invoice is the document that records a sale where payment is due in the future and creates a receivable so you can track what the customer owes. The other forms serve different situations: a bill is from a vendor you owe, not a customer; a sales receipt records payment at the time of sale; a credit memo is used to credit a customer for returns or allowances. So, for a sale intended to be paid later, the invoice is the correct form.

When a customer will pay you at a later date, you use an invoice. An invoice is the document that records a sale where payment is due in the future and creates a receivable so you can track what the customer owes. The other forms serve different situations: a bill is from a vendor you owe, not a customer; a sales receipt records payment at the time of sale; a credit memo is used to credit a customer for returns or allowances. So, for a sale intended to be paid later, the invoice is the correct form.

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