Purchase Order and Receiving Inventory on Peachtree in Amharic

One of the first steps in the purchases cycle is placing an order with a vendor. In general, you can record this event in two different ways. One way is to create a purchase order and then to enter the vendor's invoice (bill) into Peachtree when the items of inventory are received. Alternatively, if the items are to be received immediately, the second way is to not create a purchase order and to just enter the vendor invoice for the purchase.
The approach applied determines when the purchase information is recorded in the general ledger. Peachtree updates the general ledger accounts when the purchase invoice is saved, not when the purchase order is entered.
When a purchase order is saved in Peachtree, information about the order is recorded in the purchase order journal. However, entries in this journal are not posted to the general ledger accounts. The general ledger is updated only when the related invoice is saved to recognize the number of items delivered. Find out how to record a purchase invoice in the Purchase transactions page in this learning center.
Peachtree's purchase order functionality allows you to predict future expenses. You can also use it to track how much of the merchandise you have received and how much is still on order. This topic shows you where and how to record details of a purchase order in Peachtree.
To record a purchase order in Peachtree, open the Vendors & Purchases Navigation Center. Click on the Purchase Orders icon and select New Purchase Order from the drop down list provided.
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