Which type of transaction is recorded when a customer makes a payment?

When a customer makes a payment, it is recorded as a Sales Receipt or Payment Receipt in QuickBooks. This type of transaction reflects the income received from the customer for products or services rendered before or at the point of sale. It captures the essence of the transaction by documenting the receipt of cash or other forms of payment immediately upon the sale.

In contrast, an Invoice or Bill represents a record of the sale made on credit, indicating that payment is due at a later date. Estimates or Proposals are preliminary quotes suggesting potential sales rather than actual transactions that indicate payment. Adjustments or Refunds pertain to correcting prior transactions or returning funds to customers, which is not applicable at the moment of payment. Sales Receipts effectively tie the revenue directly to the payment received, ensuring accurate financial tracking and reporting.