Question

Within the revenue processes, a signed approval of a sales order indicates all of the following except:

A. The date of delivery.
B. The sale is to an accepted customer.
C. The customer's credit has been approved.
D. The sales price is correct.

Answer 1

The signed approval of a sales order confirms an accepted customer, approved credit, and correct sales price. However, it generally does not indicate the date of delivery, which is arranged separately.

Step-by-step explanation:

A signed approval of a sales order typically indicates several key pieces of information about a sale, but not all the details of the transaction. Specifically, when a sales order is approved and signed off, it confirms that:

• The sale is to an accepted customer.
• The customer's credit has been approved.
• The sales price agreed upon is acknowledged.

However, one detail that is generally not indicated by the signed approval of a sales order is:

• The date of delivery. This detail is usually specified in a separate process or document such as a delivery schedule or in the logistics or shipment details rather than in the sales order approval itself.