Measures the percentage of invoices that are free from errors.

What it Measures ?

Are we billing correctly?

Relevant StakeHolders 

AP/AR Team, Finance Ops

In-depth Use Case / Real-world Example

Invoice Accuracy Rate is calculated by dividing the number of accurate invoices by the total number of invoices issued. For example, if a company processes 1,000 invoices in a month and 950 are error-free, the invoice accuracy rate is 95%. High accuracy rates ensure smooth billing processes and reduce disputes with customers. This metric is important for maintaining customer satisfaction, optimizing cash flow, and preventing unnecessary administrative costs associated with correcting errors.