Which two steps follow making a purchase order in the accounts payable process?

Which two steps follow making a purchase order in the accounts payable process?

• A. Approve the vendor - Pay the bill
• B. Create an invoice - Record a payment
• C. Receive the items - Receive a bill
• D. Receive the items - Pay the bill

Answer: (C)

After issuing a purchase order, the next steps in accounts payable are to confirm what was delivered and to obtain the supplier’s invoice. This follows the three-way match concept: the purchase order, the receiving record, and the invoice. First, you receive the items to verify quantities and update inventory or expense records. Then you receive the bill, which records the liability and the amount due. Only after the bill is received can you process payment, assuming the details align. So the two steps that follow a purchase order are receiving the items and receiving a bill.

After issuing a purchase order, the next steps in accounts payable are to confirm what was delivered and to obtain the supplier’s invoice. This follows the three-way match concept: the purchase order, the receiving record, and the invoice. First, you receive the items to verify quantities and update inventory or expense records. Then you receive the bill, which records the liability and the amount due. Only after the bill is received can you process payment, assuming the details align. So the two steps that follow a purchase order are receiving the items and receiving a bill.