Which of the following statements relating to the creation of an invoice is correct?
A)If invoices are not posted regularly,the amounts shown as owing in accounts receivable will be understated.
B)If invoices are not posted regularly,the amounts shown as owing in accounts receivable will be overstated.
C)Updating accounts receivable must happen in real-time;otherwise the accounts receivable accounts will be understated.
D)Invoices must be dispatched with the goods to ensure timely payment.

Question

Quizplus · Accepted Answer

If invoices are not posted regularly, the amounts shown as owing in accounts receivable will be understated. This is because there may be some outstanding invoices that have not been recorded yet, leading to a lower total amount of accounts receivable.

Which of the Following Statements Relating to the Creation of an Invoice