ECONOMICS

Detailed explanation-1: -A purchase order is a form prepared by the purchasing agent which is sent to the supplier to purchase materials. The material requisition serves as the source document for debiting the accounts in the materials ledger.

Detailed explanation-2: -Answer and Explanation: The form organized by the purchasing agent and sent to the seller to get material is known as purchase order.

Detailed explanation-3: -What is a purchase order form? A purchase order form is an official contract document in which a buyer agrees to purchase goods or services from a vendor. Purchase order forms are crucial because they standardize the business’ procurement process.

Detailed explanation-4: -The buyer is responsible for creating and issuing a purchase order. In larger companies, a procurement or purchasing department will typically issue the purchase order. In smaller companies, the business owner, operations manager, or financial manager may issue the purchase order.