A business example
A hotel orders 100 towels at ₹300 each, but receives 90 towels and an invoice for all 100.
Order
The purchase order specifies 100 towels and ₹30,000 before tax.
Receipt
The receiving team confirms only 90 arrived.
Invoice check
The accounts team resolves the ten-towel difference before treating the full invoice as matched.
What this shows
The order states what was requested. The goods receipt states what arrived, and the invoice states what was charged.
What it is often confused with
A purchase order is not a tax invoice or proof that goods were received.
What to look at in your business
Resolve differences between the order, supplier acceptance, delivery and invoice.
Context and further reading
This entry explains the business term. The related guide below provides the next layer of context; any applicable legal test depends on the transaction and relevant period.
Kosha.Services · Updated 2 October 2026