An invoice is a document submitted to a customer, identifying a transaction for which the customer owes payment to the issuer. This document represents an asset of the issuer and a liability of the customer.
An invoice typically identifies the following information:
- The invoice number
- The name and address of the seller
- The name and address of the buyer
- The date of shipment or when services were delivered
- A description of the items purchased
- The quantities and total costs of the items purchased
- Any sales taxes owed
- The grand total owed
- Payment terms
An invoice may be transmitted electronically or as a paper document.