purchase order

Dictionary of Accounting Terms for: purchase order
purchase order

form used by the purchasing department to order goods or merchandise. Several copies are usually prepared, each on a different color paper. The original is sent to the supplier; this purchase order is an authorization to deliver the merchandise and to submit a bill based on the prices listed. Carbon copies of the purchase order are usually routed to the purchasing department, accounting department, receiving department, and finance department.

Dictionary of Business Terms for: purchase order
purchase order

written authorization to a vendor to deliver specified goods or services at a stipulated price. Once accepted by the supplier, the purchase order becomes a legally binding purchase contract.

Dictionary of Finance and Investment Terms for: purchase order
purchase order

written authorization to a vendor to deliver specified goods or services at a stipulated price. Once accepted by the supplier, the purchase order becomes a legally binding purchase contract.

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