Accounting glossary

What is sales order?

The selling mirror of a purchase order: a customer's committed order, held until fulfilment. It separates the promise from the delivery, which matters whenever goods do not leave the same day they are ordered.

Example

A customer commits to 16 units worth $1,684.60 for delivery next week. That is a sales order: agreed, but no stock has moved and no payment is due.

Deliver 10 now and the order keeps 6 open. Only the delivered part becomes an invoice, revenue and a stock movement.

In SeroBooks

Sales orders convert to invoices at fulfilment, carrying every line exactly. Sales orders

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