Asked by tota

QuickBooks records revenue when an invoice is generated, even though cash has not been received." Is this practice acceptable? Why or why not?


Answers

Answered by Steve
I'd say yes. That's what Accounts Receivable are for -- waiting for cash flow to be realized.

That's assuming the invoice is not generated until a purchase is confirmed.

But, what do I know? I may be off base here.
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