Which document is commonly used to record a sale transaction?

• A. Sales invoice.
• B. Receipt
• C. Check stub
• D. Purchase invoice

Answer: (A)

When recording a sale in accounting, the document issued by the seller to the buyer that itemizes what was sold, the quantities, unit prices, totals, terms, and due date is used as the source for the entry. This sales invoice serves as the evidence of the sale and the basis for recognizing revenue and the amount the customer owes (accounts receivable). It also supports tax calculations and auditing because it shows exactly what was billed.

A receipt, on the other hand, shows that payment has been received and is not the document used to record the sale itself. A check stub records a payment made by check, not the details of what was sold. A purchase invoice comes from a supplier and records amounts the business owes to others, not the sales the business makes. So the sales invoice is the appropriate document for recording a sale transaction.