Which document is the first in the purchasing process?

Which document is the first in the purchasing process?

• A. Invoice
• B. Requisition
• C. Purchase order
• D. Inquisition

Answer: (B)

The document that starts the purchasing process is the requisition. This internal form is created by the department that needs items and serves to request approval for purchase. It lists what is needed, quantities, desired delivery date, and the account or budget codes involved. With proper authorization, the requisition moves the process forward and becomes the basis for issuing a purchase order to a supplier. In contrast, an invoice is received after the order and delivery, documenting what the supplier billed for; a purchase order is generated after the requisition to formalize an external commitment to the supplier; and an inquisition isn’t a standard purchasing document.

The document that starts the purchasing process is the requisition. This internal form is created by the department that needs items and serves to request approval for purchase. It lists what is needed, quantities, desired delivery date, and the account or budget codes involved. With proper authorization, the requisition moves the process forward and becomes the basis for issuing a purchase order to a supplier. In contrast, an invoice is received after the order and delivery, documenting what the supplier billed for; a purchase order is generated after the requisition to formalize an external commitment to the supplier; and an inquisition isn’t a standard purchasing document.