If you prefer to have all of your transactions linked together, follow this guide to learn How to convert Purchase Orders in QuickBooks Online
OPTION 1: CONVERT YOUR PURCHASE ORDER TO A BILL
Pull up the Vendor name to find your list of transactions and locate the purchase order you want to change.
On the right side of the screen click the drop-down arrow next to the word Send
Select Copy to Bill
You will notice that the items have been transfer over to the bill exactly as it was on the purchase order.
The link symbol next to each of the items alerts you that a linked transaction added them
Assign Customer & Class for better tracking
Qty: Number of items on the bill.
Rate: The cost per unit on the bill.
Amount: Calculated from Qty x Rate
- Changing the Quantity and | or Amount to adjust the totals that were on the purchase order to match the billed amount.
- This is useful for modifying shipping charges or adding discounts when with terms.
Billable: Add a check mark to turn this into a billable expense
Markup: Provide the markup percentage desired
Sales Amt: This will be auto calculated based on the Amount X Markup %.
This amount will be available the next time you create an invoice for the client.
Tax: Add a check-mark to make the item taxable
Customer: By assigning the customer name to the bill you can better track the costs per job.
Class: We utilize the classes to offer better reporting options.