Essay
Unit 8 P1 P2
- Module
- Unit 8 - Accounting Systems
- Institution
- Pearson (PEARSON)
Essay of 11 pages for the course Unit 8 - Accounting Systems at PEARSON (Unit 8 P1 P2)
[Show more]
3 reviews
By: amksenin • 6 year ago
By: Samantha1738 • 7 year ago
By: jamesnixon1604 • 7 year ago
Content preview
Financial documents and their usesIn this task I will be defining the different financial documents and also explaining their uses
and the purposes of them. I will be using Digitech Ltd as an example.
Purchase order
A purchase order is a document provided by a buyer and given to the seller. It indicates
quantity, type and agreed prices for products and services that the seller will deliver to the
buyer. Digitech would provide a purchase order for their buyer.
Delivery note
A delivery note is a document that explains the contents of a package. It is given to the
purchaser by the supplier for proof of goods delivery. The camera shop would receive a
delivery note with their goods as Digitech delivers them.
Goods received note
A goods received note is a record of goods that have been received at the point of receipt. It is
used to confirm that all goods have been received. It is issued by the purchaser. A goods
received note would be issued by the camera shop for Digitech.
Sales/purchases invoice
A sales/purchases invoice contains details of goods, prices, VAT and discounts in full. It is
related to a sale transaction and is issued by a seller to the buyer. Digitech would provide the
camera shop with a sales/purchases invoice.
Credit note
A credit note is issued by the seller if any products are returned by the buyer. Digitech would
issue the camera shop with a credit note if required.
Statement of account
An account statement is a summary of financial transactions that have happened over a given
period of time on a bank account held by a business. Digitech would have an account
statement so that they have a record of their financial transactions.
Cheques
A cheque is an order to a bank to pay a stated sum from an individual’s account. It is an
alternate method of payment from cash or card. Digitech may use a cheque as a method of
payment to pay their suppliers.
Debit card
A debit card is a card which allows the holder to transfer money electronically from their
bank account in order to make a purchase. Another alternate source of payment. Digitech
may use a debit card to pay for equipment with the intention to pay the bank back at a later
date.
Credit card
A credit card is a card that has been issued by a financial company such as a bank. The holder
of the card is given the ability to borrow money at the point of sale, which would need to be
paid back at a later date. Digitech can use a credit card to pay for equipment or suppliers.
1
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Businesslevel3provisions. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for £3.48. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67096 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy revision notes and other study material for 14 years now