Sales Orders direct purchases offer a way to order inventory directly from a Purchase Order to a Sales Order. The cost basis of these items will bypass FIFO or Average costing and be pulled directly from the purchase order linked.
Direct Purchases can be created in two ways, directly from a Sales Order or using a single Purchase Order and linking each line individual to a Sales Order.
When a Purchase Order is created with one or more line items linked to a sales order the following will happen:
- When the Purchase Order is issued new lines are added to the linked Sales Order.
- These linked sales order lines cannot be edited, deleted or fulfilled.
- If the Purchase Order is unissued, and linked lines are edited or deleted, the linked lines will be changed as well.
- When a linked Purchase Order line is fully received the corresponding Sales Order line will be marked as completely fulfilled.
- If a Purchase Order line is partially received, the Sales Order line will be unchanged (Note that description type lines cannot be linked to a purchase order).
See a video of creating a Sales Order direct purchase below: