What does adding a planned date to bills ensure?

Adding a planned date to bills in Xero ensures that the bill’s due date is accurately reflected on the Purchases Overview. The planned date serves as an indicator for when the bill is expected to be paid and helps in organizing cash flow and payment schedules. It allows businesses to keep track of upcoming obligations and ensures that the information presented in the Purchases Overview is up to date, facilitating better financial management.

While other choices may seem relevant in different contexts, they do not accurately describe the purpose and effect of adding a planned date. The planned date does not prevent payments or prioritize bills universally; rather, it functions within the context of the individual bill's due date and does not remove the need for scheduling payments.