What is the difference between Invoice and Receipt in Oracle OM?

In Oracle Order Management, the distinction between an Invoice and a Receipt is foundational to the financial processes involved in order fulfillment. An Invoice serves as a formal bill issued to the customer, detailing the amounts owed for products or services rendered. It represents the business's request for payment. On the other hand, a Receipt is the confirmation that payment has been received from the customer for the invoice issued. It acknowledges that the transaction has been completed from a financial perspective.

This understanding aligns with standard business practices where invoices initiate the billing process, and receipts finalize the payment confirmation. This clarity is crucial for successful order management and financial accountability within an organization.

The other choices present misconceptions about the purposes of Invoices and Receipts, such as confusing invoices with estimates or misrepresenting their usage based on order types. Therefore, the correct differentiation emphasizes the transactional roles of both documents in a standard order management framework.