organisation holds information on the credit rating of individuals and businesses based on their history of repaying loans. Outdoor World has purchased bikes from Traction Bikes Limited before and always paid its bills on time. It is, therefore, regarded as a low credit risk and is allowed to purchase goods on credit. Regular customers who pay on time usually get trade credit. Previous customers who have not always paid on time may be asked to pay ‘cash on delivery’ or ‘cash with order’.
Checking stock The seller, Traction Bikes Limited, will need to check that the goods ordered are all in stock. Suppliers can lose sales if they do not have enough goods in stock.
3. What documents are used by a business when selling goods?
(a) Delivery dockets Delivery dockets (also called delivery notes) are usually included when goods are delivered to customers and the customer is required to sign it. A copy is given to the customer to confi rm that the correct goods and the correct quantities have been delivered. A delivery docket (or note) lists all the items delivered. When signed, it acts as proof of delivery. A copy is retained by the seller to act as a reminder of the goods sold and as proof of delivery.
DELIVERY DOCKET Traction Bikes
Unit 2, Swords Business Park, Dublin Tel 01 2123245
