Purchase Order

A purchase order is a document that confirms the purchase of certain goods or provision of specific services at approved prices, quantities and dates. The document results in a posting that makes the stock reservation on specified products in the inventory (makes the record in the Inventory journal).

You can view the reserved quantities in various reports, such as the Purchases report. Quantities, required to be repurchased are displayed in other purchase documents, such as other purchase orders, purchase quotations, goods and services receipts, purchase invoices.

Note: If the purchase order is created for services, no reservations are made. However, the document does not have accounting impact.

Usually, the purchase order is issued after your company agrees on the conditions of a purchase quotation from a vendor or in response to the vendor`s sales order.

Your company policies determine whether a purchase order is an enforceable or legally binding document - your company may not manufacture products or deliver goods or services before a purchase order has been created.

To go to the Purchase order:

  1. On the Codejig ERP Main menu, click the Purchase module
  2. Under the Purchase module, click Purchase order.


More information

Purchase Process
Purchase Order: General Area
Purchase Order: Items Section