What is grn ? What is 3 way matching .

Question

Accepted Answer

GRN stands for Goods Receipt Note. 3 way matching is a process of matching the purchase order, GRN and invoice.

GRN is a document that records the receipt of goods from a supplier.
It contains details such as the quantity, description, and condition of the goods received.
3 way matching is a process of matching the purchase order, GRN and invoice to ensure that the goods received match the order placed and the invoice raised.
This helps to prevent errors, fraud, and discrepancies in the payment process.
For example, if a company orders 100 units of a product, the supplier delivers 90 units, and the invoice is for 100 units, the 3 way matching process will identify the discrepancy and prevent overpayment.

Accepted Answer

GRN means Goods Receipt Note. it is generally used in manufacturing industries for checking of purchased of raw materials.

The process of verifying purchase Invoice with Purchase Order, GRN is called 3way matching.