3 Questions
What does it mean to void an invoice?
To keep a paper trail
What is the first step in the invoice process?
Draft
What happens when a customer pays for an invoice?
The invoice moves to the paid status
Study Notes
- An invoice goes through five statuses: draft, open, paid, voided, and uncollectible.
- Draft invoices are still editable, but are unsent.
- When a customer pays for an invoice, the invoice moves into the paid status.
- Voided invoices are conceptually similar to deleting (canceling) them, but maintain a paper trail.
- Uncollectible invoices are sometimes in this state.
- You can mark an invoice as paid, void, or uncollectible.
- You can delete a draft invoice at any time.
Test your knowledge about the lifecycle of an invoice, including its various statuses such as draft, open, paid, voided, and uncollectible. Understand when and how an invoice transitions between these statuses and the actions that can be taken for each status.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
