Order (Business)

An order, in business, is a stated intention, either verbal or in writing, to engage in a commercial transaction. From the buyers point of view it expresses the intention to buy and is called a purchase order. From a sellers point of view it expresses the intention to sell and is referred to as a sales order. In many businesses orders are used to collect and report costs and revenues according to well-defined purposes. Then it is possible to show on what purposes costs have been incurred.

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