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Trading Documents Importance of Documents in Trade

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Presentation on theme: "Trading Documents Importance of Documents in Trade"— Presentation transcript:

1 Trading Documents Importance of Documents in Trade
Documents Used in Hong Kong Importance of Documents in External Trade Documents Used in External Trade Making Payments in External Trade

2 Importance of Documents in Trade
To keep records of transactions To keep its book-keeping systems accurate and up-to-date To provide information on the trading activities

3 Documents Used in Home Trade
Letter of Enquiry Quotation BUYER SELLER Order Advice Note/ Delivery Note Invoice/ Statement of Account Receipt Receipt

4 Letter of Enquiry An enquiry by a customer to suppliers asking for details of goods which may be bought

5 Cash Discount A reduction in price to the public for payment in cash

6 Trade discount A reduction in price given by a trader to other traders

7 Quotation States the price and other details of goods a supplier is willing to sell

8 Order A document sent by a buyer to a supplier giving details of goods to be purchased

9 Advice note Delivery note
Be sent by the supplier to the buyer give details of delivery of the goods Delivery note Be sent with the goods, usually if the supplier’s own transport is used

10 Invoice Is a bill which lists goods bought from the supplier

11 Credit note Debit note

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