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Purchasing & Expenses

Order it.Pay for what arrived.

A purchase order is a commitment to a vendor. Physical stock and ledger dues wait until goods actually land and the vendor bill is verified against the receipt.

EssentialPurchasing is included on Essential and Professional.

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Workflow

The procurement sequence.From purchase order to settled bill.

  1. Purchase Order Issued

    Commit to supplier orders with past rates in clear view. Stock and accounts payable do not move until delivery.

  2. Goods Receipt (GRN)

    Receive full or partial deliveries into the assigned godown. Inward landed freight allocates across received items.

  3. Matched Bill & Settlement

    Bills match received quantities strictly. Payments and debit notes update vendor balances and Daybook instantly.

Procurement

Buy it. Receive it.Know what you have.

Track what you ordered, what actually arrived, what entered stock, and what remains open — across partial receipts, multiple deliveries and vendor billing.

Purchase order

PO-26-27-04-0118

Apex Fasteners & Industrial SuppliesPreferred vendor

Partially receivedSample

M12 Hex Bolt · Grade 8.8 1 carton = 1,000 pcs

Choose a purchasing step
Ordered
50 cartons
Received
42 cartons
Billed
42 cartons
Still to receive
8 cartons

Purchase order Confirmed

Quantity
50 cartons · 50,000 pcs
Rate
₹4,200 / carton
Total
₹2,10,000
Deliver to
Kherki Daula WH001

The order stays open until every carton is received or the balance is closed.

Goods receipt 42 of 50

Received
42 cartons · 42,000 pcs
Stock posted
+42,000 pcs at WH001
Landed cost
₹2,800 freight
Still to receive
8 cartons

Freight is allocated across the received inventory, by value or by quantity.

Purchase bill Receipt-linked

Billed
42 cartons
Bill amount
₹1,76,400
Linked receipt
42 cartons
Received, not billed
0 cartons

The bill quantity stays within the linked receipt. The 8 open cartons are billed when they arrive.

  1. Receive what actually arrived

    Partial receipts move the order from open to partially received to received.

  2. Post stock where it belongs

    In receipt-based inventory, confirming the receipt posts stock to the receiving location.

  3. Bill within the open quantity

    Vendor bills stay within the quantity on the linked purchase order or goods receipt.

Vendor insights

Buy with the last rate in view.Know the vendor.

See what you last paid this vendor for the item, what you still owe them, and how much you have bought — before you confirm the next purchase order.

Purchase order

Draft
Choose what to look at
Sample

Vendor

Apex Fasteners & Industrial Supplies

Location Head OfficeReceive at Head Office

Current balance

₹1,76,400.00

Order item

M12 Hex Bolt · Grade 8.8

50 cartons · ₹4,200 / carton

Pricing history
Last rate
₹4,050 / carton
Last qty
40 cartons
Avg rate (this vendor)
₹4,120 / carton
Avg rate (all vendors)
₹4,180 / carton

  1. Know the last rate

    Last rate, last quantity, this vendor’s average, and the average across vendors, on the order line.

  2. Know what you owe

    The vendor’s current balance, before the purchase order is confirmed.

  3. Know the relationship

    Lifetime value, order count, last purchase, and the items you buy most from this vendor.

The vendor sends 42of the 50 you ordered.

The goods receipt records 42 and adds that stock at the receiving location. The bill cannot exceed 42. The purchase order stays partly received until the rest arrives, or you close it. A debit note sends stock back and reduces what you owe. Daybook later shows vendor payments next to operating expenses.

Approval, when it is on, holds stock and the vendor balance until someone approves the purchase order. There is one approver step, not a chain.

Operational Doubts

Questions trade businessesask about purchasing.

Can a single purchase order be received in multiple partial deliveries?

Yes. Each delivery is recorded as a separate Goods Receipt (GRN). The purchase order tracks cumulative received quantities and remains in Partially Received status until all items arrive or you close the balance.

How are operating expenses tracked and do they alter stock valuation?

General expenses (such as rent, cartage, electricity, or maintenance) are recorded under Expenses with category, location, payee, and payment method. They do not alter inventory valuation. Inward landed freight can be allocated directly to received items on the purchase transaction.

What happens if we need to return damaged items back to the vendor?

You raise a Purchase Return (Debit Note). This automatically deducts the returned pieces from that godown’s stock and reduces what you owe the vendor, keeping accounting and inventory in sync.

Receive one short delivery and see the order stay open.

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