Q:

What does a down payment receipt look like?

A:

Quick Answer

A down payment receipt acknowledges an initial payment received toward the purchase of a good or service. Like the components common to other purchase receipts, those for down payments require three sections: the terms of sale, seller information and buyer information. A detailed item description is also included, if applicable.

Continue Reading

Full Answer

The terms of the sale section identifies the name of the item or service, cost and outstanding requirements for the sale. The full name of the item and a brief description is provided, with the cost and payment information identified. The full cost may include the original price, together with any applicable discounts, sales tax or shipping costs. The payment information should give the amount paid and form of payment. The outstanding requirements needed to complete the purchase, such as the remaining balance and any "pay by" dates associated with the agreement, should also be included.

The detailed item description should outline the identifying features of the item, such as color, manufacturer, and model and serial number. The condition of the item at the time of sale should also be noted.

The seller and buyer sections provide the name, contact information and dated signatures for the seller and buyer, respectively. Each section should clearly differentiate the entity making the purchase from the entity providing the item or service.

Learn more about Business Resources

Related Questions

Explore