Difference Between Invoice and Statement

Invoice vs Statement

Invoices and statements are often used interchangeably. In some instances this is correct, but it is not always. An invoice can be termed as a statement, but a statement cannot be said to be an invoice. In simple words, an invoice is a statement requesting money. A statement is the status of a person’s account. There are also different situations where a business document can be termed as an invoice and a statement.

An invoice can be a bill or statement for money. An invoice can also contain the charges for the goods purchased or the services provided. A paid invoice is a partial statement of the account.

A statement can be said to be a document or a report. A statement will generally contain credits and debits of an account along with a request for payment. A statement is the financial status of a customer at a point in time. Moreover, statements are given on a regular basis or as the customer requests.

Invoices are also individual sales transactions which partially comprise a statement of a customer’s account. Invoices can also be called a sales receipt as it is used for collecting money. Invoices are given to customers who do not immediately pay for the services or the products.

An invoice can be made for an electricity bill, water bill, cable bill, telephone bill, and other bills. Some of the examples of statements include bank statements, insurance statements, and brokerage account statements.

In the case of a seller, an invoice is a sales invoice. And in the case of a buyer, it is a purchase invoice. An invoice is a statement that tells how much money one owes or is owed. An invoice contains the item number, its description, price of the item, date, due date, and the total amount. A statement can be called a list of all invoices which also shows the unpaid balance on the invoices.

Summary:

1.An invoice can be called a statement, but a statement cannot be said to be an invoice.
2.An invoice is a statement requesting money. A statement is the status of a person’s account.
3.A statement will generally contain credits and debits of an account along with a request for payment. An invoice can be a bill or statement for money. An invoice can also contain the charges for the goods purchased or the services provided.
4.An invoice contains the item number, its description, price of the item, date, due date, and the total amount. A statement can be called a list of all invoices which also shows the unpaid balance on the invoices.

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