One of the most effective ways to handle purchases is through the use of Purchase Orders. A purchase order (PO) is a formal document that helps businesses keep track of items they wish to buy from suppliers. TallyPrime, one of the most popular accounting software, makes it simple to create and manage purchase orders.
What is a Purchase Order?
A Purchase Order is a document sent to a supplier indicating the types, quantities, and agreed prices for products or services the buyer intends to purchase. It is an official record of what has been ordered and serves as a contract between the buyer and supplier.
- Create Supplier Ledger for ABC Traders.
- Create Stock Items (Laptop and Printer).
- Create Purchase Order with the details of the items, quantity, and rates.
- Save the Purchase Order.
- Print the Purchase Order if needed.
- Convert Purchase Order to Purchase Invoice when goods are received.
Once the supplier accepts the order, it becomes a legally binding agreement. The purchase order helps businesses track pending orders, manage inventories, and ensure proper delivery.
Why Use Purchase Orders in TallyPrime?
- Track Orders: Helps keep a record of all items ordered, ensuring nothing is forgotten or missed.
- Inventory Management: Ensures your stock levels are updated when orders are placed and received.
- Accuracy: Reduces errors related to quantity, price, and item details by keeping a documented record.
- Professional Communication: Provides a formal document for suppliers to refer to.
Create Required Ledger – Click on Ledger
Ledger Create –
Ledger Create –
Click on other Vouchers (F10) then Select Purchase Order Voucher
Click on Show Inactive so see more vouchers list name
After click here you see more vouchers now select Purchase Order Voucher CTRL + F9
Active it before use by pressing on yes or y from keyboard
after active your purchase order voucher will be like this something
Create stock item
Create stock item
Create stock item
Create stock item
Make Purchase Voucher
After making see reports – Click On Display More Reports
Click On Statements of Inventory
Click On Purchase Order Outstanding
now here you can see your purchase order Outstanding by following wise lets see one by one
Stock Group wise report
Outstanding
Click on Stock Category to see category wise report
Category wise report
Outstanding
Click on Stock item to see the Stock item wise report
Stock Item Wise Report
Outstanding
Click on Ledger to see Party wise report
Select party to see
Outstanding
Click on All Orders to see All Outstanding Orders Check
Outstanding
Balance Sheet – No Effect
