Is it typical that you get invoiced with each delivery rather than the supplier waiting until...
Homework Answers
Answer- Yes, every delivery that takes place is invoiced rather than supplier waiting for entire order quantity to be filled.
Explanation- Every manufacturer or seller maintains a replenishment level for the stock, below which a purchase order(PO) is generated.
Once the supplier receives the PO, a check is made with the Aggregate Supply Plan (ASP) for stock availability. The available stock is cleared for delivery to the manufacturer, and it gets transformed into fulfilled orders. The unfulfilled orders become backlog orders that can be shipped by supplier before PO expiry date. If the supplier goes past the PO expiry date, the order either gets cancelled or considered as a backlog order for next replenishment cycle.
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Is it typical that you get invoiced with each delivery rather
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