What type of document shows quantity, description, prices, and terms of payment for purchased items?

An invoice is a crucial document in business transactions that provides a detailed account of the products or services sold. It typically includes important information such as the quantity of items purchased, a description of each item, the price for each product, and terms of payment. This allows both the buyer and seller to have a clear understanding of the financial aspects of their transaction, ensuring transparency and accountability.

Invoices serve as legal documents that can be used for record-keeping, accounting, and tax purposes. They are issued after goods or services have been delivered and can also reflect payment terms, indicating when payment is due and any penalties for late payments.

In contrast, a bill of sale generally serves as proof of ownership transfer from seller to buyer and does not typically provide detailed pricing or payment terms. A purchase order is created by the buyer as an initial agreement to purchase goods but does not usually provide a detailed breakdown of terms like an invoice does. A receipt is usually provided after payment has been made and serves as proof of payment, rather than outlining the terms of a transaction.