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Business Documents

TermDefinition
Letter of Enquiry A letter sent by the buyer to find out prices from different suppliers
Quotation It shows prices available from a supplier
Order Form States the goods you want to buy from the supplier
Delivery Docket Proof that the buyer received the goods
Terms of Sale Free Delivery Delivery within one week Trade Discount of 20% Cash Discount of 5% for payments made within two weeks
Bad Debt? When people who owe you money cannot pay you
Effective Purchasing? Means getting quotations from a number of different suppliers before making a decision where to buy the goods
What is Selling Goods on Credit? Means giving the goods to the customer now and letting them pay later
List 2 ways in which a supplier can check creditworthiness? Ask the customer to provide a reference from their bank Ask the customer to provide a trade reference from other firms Take a look at the customer's accounts Pay a credit enquiry agency to check if the customer owes any money to other firms
Debit Note Sent by a supplier to change an Invoice.
Statement Show balance of what is owed by the buyer.
Created by: karen.boyle
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