The type of merchandise dictates the type of storage that is used. For example, fruits and vegetables require refrigeration. Storage for merchandise may be available within the store, such as in the retail store’s back room or basement. However sometimes merchandise is stored at a distribution center. A distribution center is a large warehouse that receives merchandise from multiple vendors, stores the merchandise, and then distributes it to multiple store locations. To conclude: Purchasing inventory involves placing the purchase order, transporting the order, receiving the order, and lastly storing the merchandise to then be sold in store. Check Your Knowledge Key Terms – Define the following terms: Vendor Purchase order Packing slip Receiving record Marking Invoice Distribution center What information is typically stated on a purchase order? Use the purchase order sample on the next page and label the following: Contact Information for both the Buyer and Seller
The type of merchandise dictates the type of storage that is used. For example, fruits and vegetables require refrigeration. Storage for merchandise may be available within the store, such as in the retail store’s back room or basement. However sometimes merchandise is stored at a distribution center. A distribution center is a large warehouse that receives merchandise from multiple vendors, stores the merchandise, and then distributes it to multiple store locations. To conclude: Purchasing inventory involves placing the purchase order, transporting the order, receiving the order, and lastly storing the merchandise to then be sold in store. Check Your Knowledge Key Terms – Define the following terms: Vendor Purchase order Packing slip Receiving record Marking Invoice Distribution center What information is typically stated on a purchase order? Use the purchase order sample on the next page and label the following: Contact Information for both the Buyer and Seller
purchasing_inventory_handout.docx