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Answer Posted / jones
when an indentor raise for the products / material he/she
wants i.e product name , no of unit ,to the purchase
officer. The puchase officer collect the quotation for the
same from the different dealers and issue the po to the
lowest quoted person.
The purchase order contain the
specification of the product, rate of the product, unit of
the product and total amount of the same. and also tax part
should be mentioned wheather the afore said amount is
included of Taxes or not.
The PO also contain of Terms and Conitions
depends upon the products. like payment terms, delivety
time. warranty period, delivery place, any performance
bank guarntee needed before release of Payment.according to
product the terms & Conditions changes.
The p.o is legal document for the dealers, the dealers act
according to the P.O . So before issuing P O go through
their quotaion properly and issue the same to avoid
unneccesary problems.
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