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PRC-1 · Chapter 2 · Question 64 of 100

What is the primary administrative function of a 'Goods Dispatched Note' (GDN) in a business?

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Reveal answer & explanation

Correct answer: B) It serves as a notice to the customer that goods have been sent and lists the items delivered.

Explanation

A GDN accompanies a delivery to inform the buyer of what is enclosed. It is a logistical document and does not trigger an accounting entry until the formal sales invoice is issued.

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