Explain the difference between a customer ’ s order and a sales order , as these terms might be used by a manufacturing company making sales on credit.

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Answer 1

Textbook Question

Chapter 11, Problem 1RQ

Explain the difference between a customer’s order and a sales order, as these terms might be used by a manufacturing company making sales on credit.

Expert Solution & Answer

To determine

Differentiate between the customer’s order and a sales order.

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

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Students have asked these similar questions

In the revenue cycle (for sales on credit), a customer places an order for a certain product. Which step does not occur before shipping the goods to the customer? Check inventory availabilityPick and pack the goodsCheck customer creditBill the customerObtain the customer order

Most of the accounting cycles have journal entries that accompany the activities of each cycle. Which of the below expenditure or revenue cycle activities will not have journal entries? Processing the sales orderBilling the customerPaying a supplierReceiving payment from the customerReturning inventory to supplier

Most of the accounting cycles have journal entries that accompany activities of each cycle.Which of the below expenditure or revenue cycle activities will not have journal entries? Processing the sales orderBilling the customerPaying a supplierReceiving payment from the customerReturning inventory to supplier

Answer 2

Textbook Question

Chapter 11, Problem 1RQ

Explain the difference between a customer’s order and a sales order, as these terms might be used by a manufacturing company making sales on credit.

Expert Solution & Answer

To determine

Differentiate between the customer’s order and a sales order.

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

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Answer 3

Textbook Question

Chapter 11, Problem 1RQ

Explain the difference between a customer’s order and a sales order, as these terms might be used by a manufacturing company making sales on credit.

Expert Solution & Answer

To determine

Differentiate between the customer’s order and a sales order.

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

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Answer 4

Textbook Question

Chapter 11, Problem 1RQ

Explain the difference between a customer’s order and a sales order, as these terms might be used by a manufacturing company making sales on credit.

Expert Solution & Answer

To determine

Differentiate between the customer’s order and a sales order.

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

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Answer 5

Textbook Question

Answer 6

Textbook Question

Answer 7

Expert Solution & Answer

To determine

Differentiate between the customer’s order and a sales order.

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

Answer 8

Expert Solution & Answer

To determine

Differentiate between the customer’s order and a sales order.

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

Differentiate between the customer’s order and a sales order.

Answer 12

Explanation of Solution

Customer’s order:

The customer’s order is nothing but the purchase order given by the customer. This document will have the specification of the goods or services to be delivered to the customers from their end.

Sales order:

The sales order is the document created based on the purchase order of the customer. This document will have all the specification for the different departments involved in delivering the goods or services to the customers such as credit department, shipping department, billing department, and accounts receivable department.

Difference between the customer’s order and sales order:

The major difference between the customer’s order and the sales order is the details of the documents. As the customer’s order is the external order created by the customer whereas sales order is the internal order created based on the purchase order.

Answer 13

Ch. 11 - Explain the difference between a customers order...Ch. 11 - Prob. 2RQ Ch. 11 - Prob. 3RQ Ch. 11 - State briefly the objective of the billing...Ch. 11 - Prob. 5RQ Ch. 11 - Prob. 6RQ Ch. 11 - Prob. 7RQ Ch. 11 - Prob. 8RQ Ch. 11 - Prob. 9RQ Ch. 11 - Prob. 10RQ

Explain the difference between a customer ’ s order and a sales order , as these terms might be used by a manufacturing company making sales on credit.

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