3 Questions
What is the final status of a paid invoice?
Open
What happens to an invoice when it is marked as uncollectible?
It is kept track of for reporting purposes
How can an invoice move from an open to a paid status?
By being paid
Study Notes
- An invoice moves through different statuses from the time it’s created to when it’s paid.
- Draft invoices are still editable and remain unsent.
- Invoices move from an open to paid status when they’re paid.
- Paid invoices are terminal and can never take on another status.
- Voided invoices are conceptually similar to deleting (canceling) them.
- Uncollectible invoices are sometimes created when a customer won’t be able to pay their outstanding bill.
- You can mark an invoice as uncollectible to track the amount owed for reporting purposes.
Test your knowledge of invoice statuses and the lifecycle of an invoice, including draft, open, paid, voided, and uncollectible statuses.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
