When a business sells goods on credit it will issue an invoice to the purchaser
When the goods received by customer are not in order, faulty, shortages or overcharged by supplier, the customer should issue a debit note to inform the supplier
When goods are returned, reported faulty, or where there has been an overcharge on an invoice, the supplier may issue a credit note
Statement of account
It is a summary of the transactions for the month which is issued by supplier
Is a written acknowledgement of money received and acts as proof of payment.