Applies to: Office Accounting Express, Office Accounting Professional
Similar to a cash sale, a cash purchase is a purchase invoice that is paid for when it is purchased.
Although the cash purchase is much like a purchase invoice, it differs in several ways:
There is no payment term on a cash purchase. Rather, there is a payment method and a cash or bank account to pay from.
If you pay by cheque, you can specify which cheque number you use directly on the Cash Purchase form.
The cash purchase credits and debits the total amount to the purchase ledger, leaving the balance unchanged.
In the preceding example, the Show prices with VAT check box is selected, which allows the user to record the gross amount for the lunch expense, rather than having to calculate the VAT fraction of 82p manually.