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JSS3: BUSINESS STUDIES - 1ST TERM

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Topic Content:

  • Procedures for Preparing Bills
  • Procedures for Preparing Invoices
  • Procedures for Preparing Receipts

Invoice:

An invoice is issued by the seller when goods are sold to customers. It shows the quantity, description of the goods, unit price, total amount owed, and terms of sales. An invoice is sent from the biller to the client, in hopes of being paid within a certain amount of time.

From the invoice, the following can be extracted:

1. Name and Address of the seller/supplier.
2. Name and address of the buyers /customers.
3. The date of the transaction.
4. The serial number of the invoice.
5. The quantity of goods supplied.
6. The description of goods supplied.
7. The unit price of goods.
8. The total amount of goods supplied.
9. The terms of sales.
10. Signature of the customer and supplier.

invoice preparation

Bill:

When goods are supplied or services rendered, the customer is expected to make payment. Before payment is made, the customer is given a bill, to indicate the amount he owes, for the goods supplied or services rendered.

 

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    1. A receipt is an evidence that payment has expired made for goods and services, while an invoice is a document prepared by the seller to show the description of items sold and the total amount a buyer is expected to pay

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