Final answer:
True. The preparation of a sales invoice is not the final step in the sales and collection cycle, as the cycle includes subsequent steps such as delivery, payment processing, and account management.
Step-by-step explanation:
The statement that the preparation of a sales invoice is the final step in the sales and collection cycle is false. The sales and collection cycle includes several steps that occur after the sales invoice is prepared. These steps could involve the delivery of the product or service, receiving and processing payments from customers, and managing accounts receivable.
Furthermore, the cycle includes monitoring the collection and recording the payment in the financial records of the company. Therefore, the preparation of the sales invoice is an important part of the cycle but not the final step.