Rush Orders is a business scenario where the customer places the order and it is either picked up by the customer or business delivers the goods the same day. The moment sales order is saved, the delivery is generated and the invoice is mapped to the delivery, not sales order. GI happens once the goods have been removed from storage and picked.
Cash Sales is a business scenario where the customer places the order, picks up and pays for the bill immediately. Delivery, unlike RO, is processed immediately and a cash invoice is done. Customer pays up to a cash account and hence there is no accounts receivable in picture. The billing in this scenario is mapped to sales order; not delivery.
Let’s understand this with an example –
There is a factory outlet of Nike. Jack Donaghy is the sales executive who takes care of both small and big customers. Kenneth comes to Jack and places an order of 3 pairs of shoes. He pays up and picks up the packet. This is a cash sale. Keith from Atlantic Store calls Jack and places an order of 150 miscellaneous items. He needs it immediately to accommodate a client from Brown University. Jack says that he will deliver the items in 3 hours. This is a Rush Order. Upon delivery, the invoice is sent to Atlantic Stores.