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Invoicing for items not in stock yet

edited Dec 23, 2019 10:53PM in Accounting / ERP 8 comments

Very often, goods are not in stock when we invoice them.
How does the system handles a Sales Order with Negative Stock?

Should a Sales Order be created first then create a PO to order the goods in?
or Create a PO before creating a Sales Order? Any difference?

How does the inventory count changes between the transactions for Quantity on Hand, Quantity on Back Order with the creation of the transactions?

In my understanding, it is not a good practice to Invoice for stocks that we don't have yet. What is the best practice in the system for selling what you don't already have?

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