Forgetting an unpaid invoice

[Bill Wisse]

On Tuesday 30 November 2004 06:10, Robert Locke wrote:

>
> In Cash Accounting - used by most small businesses, you recognize the
> income of the sale/invoice at the time of payment.  If you never receive
> payment, you never recognize the income and consequently do not need to
> "write-off" the open invoice - simple deletion(unposting) of an invoice
> could be used to clean up reports.....

You are exactly right if you sell *services*.
But if you sell goods , and a lot of small businesses do, you cannot use the 
cash method , simply because if you receive no payment you still have to 
write off the stock used.

-- 

Greetings from
/bill at 169 west , 19 south.  
Disclaimer: Any errors in spelling, tact, or fact are
transmission errors."