the purchasing cycle

Question 1

state the purchasing cycle in order.

Answer 1

purchasing order.
delivery note.
returns note.
credit note.
invoice.
statement.

Question 2

what is the purchasing order?

Answer 2

A document issued by a buyer to a seller, indicating types, quantities, and agreed prices for products or services.

Question 3

A delivery note is a document from the ______ which describes the ____ being delivered. the business needs to check the items that have been ______ again the items on the _______ ____ and then against the ________ order.

Answer 3

supplier.
items.
delivered.
delivery note.
purchasing order.

Question 4

what does the returns note tell the business and the supplier?

Answer 4

the returns note is a document that detail any items that a business rejects (wants to return). the business must state what item is being returned and for what reason. the business and the supplier must keep track of items that need to be paid for and those that have be returned.

Question 5

if goods have been ______, the supplier may give the business a _____ ____. this informs them that the business will not be _____ for the items.

Answer 5

returned.
credit note.
charged.

Question 6

what is the definition of an invoice?

Answer 6

An invoice is sent to the business, itemising how much the business owes the supplier and what set date it will need to be paid by.

Question 7

a statement is sent ____ _ _____ to the business. it will list all the ________ that have taken place over the last month. this helps the business have a clear picture of what has been ______ and ____ for and what is still owed to both parties.

Answer 7

once a month.
transactions.
delivered.
paid.