All of the Following Statements Regarding a Sales Invoice Are

question 62

Multiple Choice

All of the following statements regarding a sales invoice are true except:

• A)A sales invoice is a type of source document.
• B)A sales invoice is used by sellers to record the sale and for control.
• C)A sales invoice is used by buyers to record purchases and monitor purchasing activity.
• D)A sales invoice gives rise to an entry in the accounting process.
• E)A sales invoice does not provide objective evidence about a transaction.

---

Definitions:

Investing Activity

Financial actions related to the acquisition and disposal of long-term assets and other investments not considered as cash equivalents.

Mortgage Payable

A long-term liability representing the amount owed on a property mortgage, which is to be paid back over a period.

Noncash Investing

Investing activities that do not involve cash transactions, often including exchanges of noncash assets or liabilities for other noncash assets or liabilities.

Noncash Investing

Investment activities that do not involve a direct outlay of cash, such as acquiring assets through a lease or earning stock in exchange for a service.