4. Bill v Purchase Order
From TrueERP wiki
Bill v Purchase Order
Bill v Purchase Order - Do you understand the difference between a Bill and a Purchase Order with reference to accounts being entered on Bills, while products are entered through a Purchase Order?
A Bill is for posting expenses like telephone, power etc. Typically for your overhead accounts. Where as a Purchase Order is for ordering in products and services. Purchase Order is for running inventory or even non inventory but tracking your COGS(Cost of Good Sold).
- The Bill Button gives the user the ability to enter a Bill for listing an Expense to pay into the ERP system and assigning it to an account. A Bill could be typically used for utilities such as a phone bill or electricity bill.
- Using a Credit is the opposite to a Bill where you typically get a Refund from a Supplier with no product involvement.
- A Purchase Order is used when ordering goods/products from a supplier or services and a Negative Purchase Order is used as a credit for accounts and products.
