Question

In: Accounting

Explain the Sales Order Procedures for ABC Company assuming they are a company that has the...

Explain the Sales Order Procedures for ABC Company assuming they are a company that has the following:

Online Orders

In-Person Store Purchases

Extended credit to customers

Third-Party inventory provider

Ships goods

Bills customer

Sales Returns

Solutions

Expert Solution

the sales order procedure is the sequence of actions that a business follows to fulfill tye customer purchase.today most of the company uses modern technology to aid the sales order procedure. the sales order actually confirms the transaction between buyer and seller.the seller generates the order, often in response to a purchase order.

there are many steps which are taken for a sales order procedure.starting from the creation of sales order.

online orders

the online ordering system can be defined as a simple and convenient system, aided by technology.customer a use this from the comfort of there homes.it reduces many cost for the company, example -storage/overhead cost. the customer can use the internet to connect with the seller to purchase items.

in-person store purchases

in-person store purchase refers to customers going to the physical location to find the product. this helps the customer to look at the product physically.this is the traditional method of shopping.

extended credit to customers

a credit facility is a type of loan made in a business by the customer. the extension of credit is an integral p[art of business.credit is a means of creating revenue and many companies will use credit to increase sales, to match or beat competitors and meet customer demands.

the business that tends to extend credit to customer must start with a credit policy. choosing terms,creating or adopting application.

third-party inventory provider

third-party inventory provider are utilised by eCommerce business to oversee and manage their supply chain managemant.it focus in optimising the supply chgain,allowing online business to focus on marketing and other business opertaion.

it also allows to keep the cost down and focus on efficency.

ships goods

this is one of the sales procedure,which is made after the order and confimation.after the customer completed the main pprocedure.the sellwer transfer the prioduct to the customer.it is the process of transferring the product by land,sea or air.

bills customer

when starting the business ,one of the first task is deciding,how to collect money from cutomer.diffrent method are used by business to bill and take payment from the customers.good billing depends on information and that information is about your customer and the amount they owe.the business may use diffrent accounting software to do the same.

sales return
a sales return is merchandise sent back by a buyer to the seller/ususally for one of the following reason.excess quantity shipped,escess quantity ordered,defective goods,good shipped too late.this happens mainly in online orders,


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