What does a supplier purchase order represent?

A supplier purchase order is fundamentally a document issued by a buyer to a supplier indicating the buyer's intent to purchase goods or services. This document typically details the items being ordered, their quantities, and the agreed prices. It serves as a formal agreement between the buyer and the supplier to initiate a transaction.

By issuing a purchase order, the buyer provides the supplier with clear instructions regarding what is needed, thereby ensuring both parties are aligned on the specifics of the order. Furthermore, a purchase order can provide legal protection for both parties should any disputes arise regarding the transaction.

The other options do not accurately define a supplier purchase order. A bill from a supplier refers to an invoice requesting payment for goods or services that have already been provided, which is distinct from the order initiation represented by the purchase order. A record of returns tracks items returned to the supplier, while a summary of payments to suppliers relates to financial transactions completed. None of these accurately reflect the primary function of a purchase order as a document that indicates an order for goods or services.