Preparation of Documents Identification & Preparation of Documents DR CR Chapter-2

DOCUMENT Every Business Transaction is supported by a DOCUMENT DOCUMENT is an evidence or Proof of a BUSINESS TRANSCTION.

Examples – DOCUMENTS QUOTATIONS: Evidence of terms and conditions of supply of goods and services. PURCHASE ORDER: Evidence of terms and conditions, quantity and specification of goods and services ordered.. INVOICES/BILLS: Evidence of sale of goods and services. DELIVERY NOTE: Evidence of delivery of goods and Properties sold CREDIT/DEBIT NOTE: Evidence of: adjustments in purchase or sale, goods returned inward or goods return outward, Discount allowed or discount received. RECEIPTS: Evidence of amount received PAYMENT VOUCHER: Evidence of payment made

Documents & the evidence of Business Transactions Sr. No. Document Prepared by For the purpose. 1 QUOTATIONS SUPPLIER (SELLER) Evidence of terms and conditions of supply of goods and services 2. PURCHASE ORDER PURCHASER (CUSTOMER) Evidence of terms and conditions, quantity and specification of goods and properties to be purchased   3. INVOICES/BILLS Evidence of sale of goods and services. 4. DELIVERY NOTE Evidence of delivery of goods and Properties sold 5. CREDIT/DEBIT NOTE Creditor (SELLER) OR Debtor (CUSTOMER) Evidence of: adjustments in purchase or sale, goods returned inward or goods return outward, Discount allowed or discount received. (DEBIT NOTE TO DEBIT ACCOUNT/ CREDIT NOTE TO CREDIT ACCOUNT) 6. RECEIPTS VOUCHER Receiver Evidence of amount received 7. PAYMENTS VOUCHER Giver Evidence of amount paid

An example of an invoice

An invoice with trade discount