Difference in po and invoice?

Question

Accepted Answer

PO is a purchase order issued by the buyer to the seller, while an invoice is a bill issued by the seller to the buyer for goods or services provided.

PO is issued before the goods or services are received, while an invoice is issued after the goods or services are provided.
PO specifies the details of the goods or services to be purchased, while an invoice specifies the amount to be paid for the goods or services provided.
PO is used to track the delivery of goods or services, while an invoice is used to track the payment for the goods or services provided.
Example: A company issues a PO to a supplier for 100 units of a product. The supplier delivers the product and issues an invoice for the total amount due.
Example: A company issues a PO to a service provider for a specific project. The service provider completes the project and issues an invoice for the total amount due.

Accepted Answer

PO is an agreement between buyer and seller. It is generated by buyer while an invoice is a non negotiable commercial instrument issued by seller to buyer.

Difference in po and invoice?

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