Purchase Transactions in the Accounting Package

Details of the Purchase transactions available in the Accounting Package.

Purchase Transactions

The Purchase process in the Accounting Package starts with a Purchase Order which can then be copied to a Purchase Service Invoice. You need to ensure that you have setup all required information for your Supplier, Payment Terms, etc.

All transactions in the Accounting Package are for Service Items, which are non-stock items that you purchase.

Purchase Order – this is a request of services from your supplier but does not affect the accounting posting. This is the first document of agreement on prices/services Items with your Supplier. Once created this can then be copied to a Purchase Invoice to complete the purchase process.

Purchase Service Invoice – this is a statement of goods/services supplied by your Supplier. It will affect your accounting values for Tax, Profit & Loss and Balance sheet (Aged Creditors). This is a request for payment from your supplier. A Purchase invoice can be added on its own without a Purchase Order being linked to it.

Purchase Service Credit Note – this is created from a purchase invoice when you need to cancel the invoice or credit the supplier account on agreement. This will be automatically be reconciled against the invoice, otherwise if it is added on its own you can reconcile when making a payment.

Purchase Transactions flow chart:

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