Question

Question 34 (Quickbooks)

1. Which of the following transactions is considered a "Customers and Sales" transaction?

   	A.	Invoice
   	B.	Purchase Order
   	C.	Pay Bills
   	D.	Check

Answer 1

Invoice refers to the "Customers and Sales" transaction.

Correct option is (A)

When a firm sells goods on credit, it prepares sales invoice in which details like name of the buyer, quantity, rate and total amount are shown.

Purchase order refers to the order made by the purchase department to buy a particular quantity of goods.

Pay Bills specify the money to be paid eg. money to be paid to workers.

Check is used to make transactions with bank i.e withdrawal and deposit into bank.

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