What Is Authorities Annotation ? Meaning, Contents As Well As Functions

Meaning of Invoice ↓

Invoice is a bill which indicates the sum that is to live on paid yesteryear the buyer to the seller. There is no measure cast or means of invoice together with every bit such it tin live on designed every bit per the requirements of the seller. It tin live on prepared inwards 3 or to a greater extent than copies every bit required yesteryear the parties concerned. The invoice may live on sent along alongside the goods or at a afterwards date. When cash is paid at the counter of the store together with hence cash memo is issued yesteryear the seller to the buyer.

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Contents of Invoice ↓

The invoice contains next primary items :-

1. The cite together with address of the seller.
2. The cite together with address of the buyer.
3. The description of goods i.e quantity, quality, weight, size, etc.
4. The value of goods, less discounts, if any.
5. The internet sum payable yesteryear the buyer.
6. Terms together with weather condition of payment.
7. Country of rootage (in illustration of export trade)
8. Mode of transport.
9. Freight charges.
10. Insurance premium.
11. Bill of Lading or Railway Receipt Number.
12. Signature of the seller.
13. Date on which the goods are despatched.
14. E. & O.E. (Errors together with Omissions expected).
15. Any other details, if required.

Functions of Invoice ↓

The functions of Invoice are every bit follows :-

1. The buyer comes to know almost the sum to live on paid to the seller.
2. He tin cheque the invoice cost against the quotation/proforma invoice price. If whatsoever deviation he tin form it out alongside the seller.
3. It helps the buyer to ready the cost for resale.
4. The invoice helps the buyer to verify the actual goods received.
5. It helps to ready debit notation or credit note.
6. It tin live on used every bit an testify inwards the courtroom of law.
7. Invoice facilitates the seller inwards checking upwards the full mass of sales together with inwards verifying the stock balance.
8. It enables the buyer to brand entries inwards the books of account.
9. It enables the seller to brand necessary entries inwards his sales mass together with customers ledger amount.
10. It helps the buyer to know the exact due engagement of payment to the seller.