Step 1: Scanning the Products

When you go to the last destination in a retail store, the final action is making payments to what you have purchased. You will notice that the person standing at the POS system scan all the products with a bar code scanner to log the prices and qualities in their machine. Bar code scanner uses a laser beam to read the information coded in the bar code.

Step 2: Receiving Payments

Merchants use point-of-sale (POS) systems to take customer payments by credit card1/debit card or cash. Payments are collected immediately in a store that uses a POS system to run the payment. The terminals that are used in POS systems are typically connected directly to a bank that can credit the user's account and show payment on the merchant's books. A financial tracking system is connected to POS terminals through systems that process credit and debit card payments.

Step 3: Printing the Bill

POS equipment can print copies of the sale for the customer and the merchant. Exchanges and refunds also can be run through the system, and the bill can be printed when a merchant has a printer attached to the system.

Step 4: Cash Drawer

Merchants running POS systems usually attach a cash drawer to the system to hold the credit card receipts. POS systems also tie in cash payments through the same program and open the cash draw when each transaction is completed. And the transaction is complete! Isn’t that so simple and in a logical sequence.