Purchase Order vs Invoice – What’s the Difference?

[kuldeep]

I often get confused between a purchase order and an invoice when dealing with business transactions. Can someone explain the key differences between the two? Who issues each document, at what stage in the process, and how do they affect accounting or payment tracking?

 

[robertwilliam]

A purchase order (PO) is a document through which a buyer formally asks the seller to deliver goods or services, while an invoice represents the seller's request for payment after the goods have been delivered.