Spectrum features auto-count P/O numbers, or the operator may specify the desired P/O number while adding purchase orders. It is recommended that this number be initialized at some point significantly higher or lower than purchase order numbers presently in use, so that auto-counted P.O. numbers will not interfere with purchase orders already issued to vendors. For example, if purchase orders are currently numbered 1500 to 1600, you may choose to set the next P.O. number to 5001. Alternatively, if purchase orders are presently numbered in the 80000 range, you may elect to commence the Spectrum purchase orders at 10001.

This feature is also useful for companies with "unit price contracts." This type of company can set up purchase orders with each phase of the job listed as a line item with the planned quantities and budgeted unit prices. You can set the percentage to 999% (or other percentage of planned receipts). Unit price contracts allow payment based on quantity installed; therefore, this feature provides the ability to receive more quantity than ordered without having to alter the original (historical/planned) quantity.

Enter the allowable percentage of overrun on received quantities.

If this checkbox is not selected, the Back Order Alert / Print Options window will not display in the Packing List Quantity Entry page when partial orders are received. Likewise, if this checkbox is selected, the Back Order Alert / Print Options window will display in the Packing List Quantity Entry page when partial orders are received.

If you do not select this checkbox, there will be no changes made to any figures in Inventory Control as a result of purchase order activity.

• Accrued purchase G/L account code. Enter a G/L liability account code that will be used for all direct accrued PO costs. When the accrual is made, Spectrum will debit the job and credit the accrual account. When the invoice arrives, the accrual amount will be credited.
• Default new job purchase orders to accrue costs? Select this option as a default setting in Purchase Order Entry when a new job PO is created.
  Important: Make sure to select the Post to G/L > Purchase Order packing lists option on the General Ledger Installation screen to post packing list transactions to G/L as part of the PO accrual process.

• One-step (invoice)
• Two-step (packing list + invoice)

The One-step process allows entry of quantity and invoice information in a single process.

The Two-step process involves first entering quantities received (often from a packing list), and then entering A/P invoice information when that document arrives from the vendor.

If any purchase orders exist without the receiving method set, the software will prompt to update them during installation.

• Yes
• No
• Update only if cost lower

If you select Yes, the unit cost of the item will be recorded as the new standard cost in the Inventory Item File Maintenance (when an inventory item is included on a purchase order).

If you select No, there will be no change made to the standard cost figure in Inventory Control as a result of purchase order activity.

If you select Update only if cost lower, the standard cost will only be updated from Purchase Order Receiving when the unit cost on the purchase order is lower than the current standard cost in inventory. The standard cost is set when the receiving is finalized in Purchase Order Receiving; this is the same time the A/P invoice is created.

Yes - when an inventory item is included on a purchase order, the unit cost of the item will be recorded as the new standard cost in the Inventory Item File Maintenance.

No - there will be no change made to the standard cost figure in Inventory Control as a result of Purchase Order Receiving.

Update only if cost lower - the standard cost will only be updated from Purchase Order Receiving when the unit cost on the purchase order is lower than the current standard cost in inventory.