When purchasing inventory,which document usually triggers the recording of a liability?
A)purchase requisition
B)purchase order
C)receiving report
D)supplier's invoice

Question

Quizplus · Accepted Answer

The supplier's invoice is the document that usually triggers the recording of a liability. This is because it indicates the amount owed to the supplier for the goods received, and is the basis for recording the accounts payable liability. The purchase requisition, purchase order, and receiving report are all important documents in the purchasing process, but do not typically trigger the recording of a liability.

When Purchasing Inventory,which Document Usually Triggers the Recording of a Liability