What is the PO – Purchase Order ?

The purchase order (PO) is prepared once a PR has been given approval. The PO is the document that is sent to a supplier by the purchasing entity confirming an order for items or services to be procured. The supplier to be chosen is the one who has the most competitive price who can deliver the items specified. The PO includes the name of the research project needing the item, the vendor, the description and quantity of the goods or services, the price, date of delivery or performance, payment information, and delivery address.

Going back to our case, the PO should contain the name of the research project, the vendor (Electronics Supplies, Inc.), the item (laptop), the specifications, quantity (10 pcs), purchase price (P24,000), date of delivery (within 15 days from acceptance of the purchase order), payment information (check payment within 30 days from delivery), delivery address (547 Pedro Gil St.).