Question

Plz write in your own text and don't copy answers that was answered before since my teacher has (Plagiarism checker) thank you at least 3-4 paragraphs

1. QuickBooks Desktop records revenue when an invoice is generated even though cash has not been received. Is this an acceptable practice? Why or why not?

2. How does a business recognize when to create an invoice and when to create a sales receipt? What are the significant differences between sales receipts and invoices? What industries will most likely use invoices over sales receipts?

least 3-4 paragraphs least 3-4 paragraphs

Answer 1

Answer:

1.

Invoices are issued when money isn't received on the spot however in future periods.If an entity follows Cash basis of bookkeeping revenue cannot be perceived before getting cash,But if entity follows Accrual Basis of Accounting income or revenue is perceived when earned so Recognizing income before getting money is adequate or acceptable.

2.

It relies upon how the payment is received :

• If payment is received later and not currently for goods sold a invoice receipt is recognized or perceived
• Otherwise, if payment is received on the spot for goods sold ,sale receipt is perceived.

Significant differences between sales receipts and invoices:

An Invoice is demands for payments while Sales receipts acts as evidence for payments.

Invoice Receipt is insights about how much client needs to pay and payment strategy acknowledged by seller,it is issued before sale is finalized.Sale receipts are given when client pays the necessary amount.

Industries will most likely use invoices over sales receipts:

Invoices are generally utilized by Freelancers or wholesale businesses because they sell bulk products to resale and Sales receipts are normally utilized by Retailers who sell goods to ultimate customers.