The Purchase Order system is an extension of the Accounts Payable system. The last step in the purchase order process is the creation of vouchers. The vendor master file must be set up before you can enter either vendor prices into the vendor price file, or purchase orders into the purchase order file.
Data is entered in the vendor master file by selecting Vendors, from the Select, Accounts Payable menu. The data entry screen is shown below.
The following fields in the vendor master file are used specifically with the Purchase Order system: Payment Terms, Bank, Future Payable, and Discount.
The Payment Terms for the vendor can be used as the default value for the payment terms for both inventory and non-inventory purchase orders. Of course, the payment terms entered in the Payment Terms field must be in the payment terms file.
The entry for the Future Payable field can be used as the default value for the the future payable account on both inventory and non-inventory purchase orders. This field is also required by the automated restocking process.
Data from the Bank and Discount fields in the vendor file, is used by the automated voucher process. Vouchers created by this process cannot be complete without the information from these fields.