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instructions about the delivery of the goods in the order letter. Thus, an order letter refers
to that letter which is written by a buyer to the chosen seller by demanding the certain
goods as agreed by them. This letter is, in truth, beginning of trade relation between the
seller and the buyer.
v. Letter of Acknowledgement
After receiving the letter of order, the supplier/seller should inform the buyer about
the receipt of the order and its acceptance. He should also give the information about the
delivery of the goods in written form. As such, a letter of acknowledgement is that letter
which is written by a seller to the buyer by assuring the delivery of goods specified.
After the confirmation of order, the seller should process onward for the dispatch of the
goods up to the buyer. The following are the further procedures to be followed by the
seller.

vi. Preparation of Invoice
Invoice is a kind of bill prepared by a seller to the name of the buyer mentioning
therein the particulars of the goods, the net value of trade and the credit terms and
conditions, etc. It is prepared in necessary copies and of which, one is sent to the buyer,
second to the carrier company along with the goods and the last copy is kept by himself for
future reference. After collecting goods and preparing invoice, the goods are dispatched
to the carrier company for delivery.

vii. Letter of Complaint
When the goods are delivered upto the buyer, he receives them by their physical
verification with the invoice that he has got. If he finds any defects in the goods in terms
of quantity, quality, colour, size, etc., some or all of the goods are returned to the seller
himself along with a complaint letter. As such, a complaint letter is that letter which is
written by the buyer to the seller by making complaints against goods being not as per his
order, if any. A complaint letter may cause a negative effect on their mutual relation and,
thus, it should be written in a polite way.

viii. Adjustment of Complaint
Adjustment letter is that which is written by the seller to his buyer or customer by
informing about the receipts of complaints and assuring for the necessary correction of
defects and its compensation. When such complaints are received, these should be tackled
sincerely so that, a good trade relation can be further continued with him.
B. Foreign Trade
Business activities are developed all over the
world with the globalization of communication,
transportation and banking network. People of
different countries have come in contact through the
exchange of goods or services in the international
market in terms of foreign trade. Thus, foreign trade
refers to the buying and selling of goods between or
among different countries. It is also, termed as external Foreign trade

46 Aakar’s Office Practice and Accountancy - 10 Trade 47