difference between sales order and purchase order

[g_suri24]

hi friends ,

what is the difference between SALES ORDER and PURCHASE ORDER.
please send me the definition of those and explain with one example.

thanks in advance.

[P_MANMOHAN]

Hi,

Generally Sales Order is raised by the Customer to buy the goods from you. Where as Purchased Order is raised by you to buy the goods from other person.

Ex: If ur dealing with computer business, U get an order from XYZ Company to supply 10 Laptops. For this, customer send a Sales Order to U. The same sales order is Purchase Order to customer.


I hope u understand.

[g_suri24]

hi manmohan,

if a customer requests for certain number of goods,is it a sales order or requisition request?

can u please tell me the distinction between sales order,purchase order,requisition.

warm regards,
surender

[Ritz]

Sales order (SO) , Purchase Order (PO) and requisition -

You need to raise a requisition for a PO. So requisition is need for a PO , that is clear.

Now SO and PO -

We want to purchase an item from our supplier. So we will raise a PO on our vendor (thru a requisition).

On similar lines our customer wants to buy an item from us , so he will raise his PO on us. This customer PO is entered in Oracle Apps as Sales Order since for us it is a order to sell an item to a customer. In brief - Customer PO on us is defined in Apps as Sales order.

Ritz