Discover Invoicely Pricing for Shipping Solutions

Invoicely pricing for Shipping

hey everyone um students often ask me you how does a sales process work at a company what sort of documents will we look at so what I thought I'd do today is actually talk about what happens when a company sells Goods so let's think about a retail organization and I'm going to use two that I actually have some documents for so the first one is the store Peters of Kensington and you can actually go to their website so that's .pof kensington.com Au and the other one is going to [Music] be easy DVD all right so easy dvd.com Au so you can go to both of those websites and you can check out what goods they have for sale but here are two that I've actually purchased from so I've participated in the sales Pro process with the client and I've got goods and I've got some documentation to show you because often students say look what are the documents involved in the process because we know that typically you go online and you place some some sort of order all right somebody in the warehouse actually goes away and selects the goods then usually they [Music] produce some form of shipping document and also usually some form of invoice before they go ahead and they record their journal entry and of course in the majority of these circumstances it's going to be debit cash or a credit card in most instances and then credit sales revenue so what exactly do each of these documents look like so if you go online to either of these stores you can uh browse the products uh create a shopping cart uh buy those items and then check out and what you get here's my sample from Peters of Kensington is an order that comes through to Rema all right so I ordered some carving kits I ordered uh a Santa teacup set some Christmas ornaments uh and as you'll see on each of the on the actual order here I've got my quantity my unit price and then the extended price which is the quantity times the unit price gives me the extended price we have the total we have a postage cost uh any GST and then the total all right so that total is usually what we're going to see in our journal entry what I would expect to see in the Peters of Kensington journal entries somewhere is going to be debit cash cash for 175 and credit sales for 175 as well as of course the uh accompanying um inventory journal entries so for this one I ordered some goods and then when I received them I got this so what's interesting to note here is they call the document that identifies what is shipped as the packing ticket all right so it's called different things in the Cloud9 case study that we're doing for homework it's called A dispatch note sometimes it's called a shipping manifest here at Peters of Kensington they call it a packing ticket shows me the item the description and then the quantity of the goods sent to me let's look at the easy DVD option all right so here's e easy DVD's order for me so it says Hi Amanda your order number is and here's the order items that I ordered so what I ordered was a whole lot of Clone Wars uh DVDs or Blu-Rays cuz I haven't seen them yet and I'm Keen to sit down and watch them all so it's got my orders the price my delivery all right and it says okay this is Goods that you've ordered and then I got a number of individual packets in the mail and in those packets came these documents and you'll notice that at easy DVD they call them packing slips there's a barcode they must use some sort of barcode system there the quantity the item the shipping date the order date and the purchase order it relates to so no matter what sort of organization you've got you've always got some sort of order we know that at easy DVD oops they call their shipping document a packing slip and at Peters of Kensington they actually call their shipping document a packing ticket so it's really important that I understand the differences between these document names so that if I went to e and I was doing an audit and I said look I want to make sure that all these sales I'm going to start with journal entries and I'm going to vouch back to sales and I want to prove that they went to customers show me the packing slips if I went to easy DVD and I said to the staff show me the packing tickets the staff would probably go I don't know what you mean cuz all we have is slips we don't have tickets so this is a basic example of the sales process um and the sorts of documents that you might have um so journal entries might be electronic but it's quite easy to get samples of What shipping documents and orders look like