Which of the following is the correct sequence in which the following documents are used?
Answer Details
The correct sequence of documents used in a business transaction is "Order, delivery note, invoice, debit note, statement."
An order is a document issued by a buyer requesting goods or services from a seller. Once the order has been received, the seller prepares the goods for delivery and issues a delivery note, which lists the items being delivered and their quantities. The delivery note is sent along with the goods to the buyer, who checks that the items delivered match the details on the delivery note.
After the delivery has been made, the seller issues an invoice to the buyer, which is a document requesting payment for the goods or services supplied. The invoice includes details such as the quantity of goods delivered, the price per unit, and any taxes or discounts that apply.
If there is any discrepancy between the invoice and the goods delivered, the buyer may issue a debit note to the seller, which is a document that notifies the seller of the discrepancy and requests a credit for the amount owed.
Finally, the seller sends a statement to the buyer summarizing all of the transactions between the two parties over a specific period, such as a month. The statement shows the total amount owed by the buyer and the due date for payment.
The other sequences of documents listed in the options are incorrect, as they either omit important documents or include documents in the wrong order.