This article defines Invoice, Sales Receipt, Bill, and a Statement so you can properly enter these transactions in QuickBooks Online.
Invoice, Bill, and a Statement defined:
Invoice is a term used when you want to collect funds from your customers.
- It is a transaction you create to receive money from your customers.
- It is an individual sales transaction that can partially comprise a statement of your customer's account.
- It is a transaction you send to your customers who have not paid yet when specific work items or goods/services sold are completed or fulfilled.
Bill is a term used to describe transactions that are owed to vendors/suppliers.
- It is an invoice your vendors/suppliers send to collect money from you.
- It is an invoice that you need to enter as a bill that they expect you, as their customers, to pay.
A Statement is simply the status of the customer's account at a particular point in time.
- It represents sales transactions, credits and payments in each line item for a given period. It doesn't offer as much detail as the individual sales transactions.
- It notifies your customers where they stand and if they still owe you any money. You send it to your customers on a regular basis.
For further information about the types of statements available, please see our Help Topic, All about statements.6573