Question

Which of the following is an example of a bill?

Multiple Choice

a. Scored
b. Insurance expense
c. Accounts Receivable
d. Invoice
e. Purchase Order

Answer 1

The correct answer is d. Invoice, which is a document issued by a seller detailing the amount due by a buyer for goods or services provided. It represents a bill that the buyer is expected to pay.

Step-by-step explanation:

An invoice is a document issued by a seller to a buyer that lists the products and services the buyer has obtained, along with the amount of money owed for the transaction, hence it serves as a bill.

Unlike an invoice, insurance expense represents the cost of an insurance policy that has already been acquired, and purchase order is a document sent from a buyer to a seller requesting goods or services before payment. Meanwhile, accounts receivable signifies the outstanding invoices a company has or the money owed by clients. Scor is a term that does not apply in this context.