A "PO" stands for Purchase Order. It is a legally binding commercial document created by a buyer and sent to a seller to confirm the intention to purchase products or services. The PO details important information such as the types and quantities of items, agreed prices, payment terms, and delivery details. It acts as a contract between the buyer and seller once accepted by the seller, providing legal protection to both parties. Purchase orders help streamline the purchasing process, keep transparent communication between buyers and sellers, and provide a clear paper trail for tracking orders and payments. Each PO is typically assigned a unique purchase order number for identification and tracking. In short, a PO is like a formal shopping list and order agreement that specifies what the buyer wants to buy and agrees to pay for at later terms, offering assurance to sellers that payment will be made once goods or services are delivered. This summary synthesizes information from multiple sources explaining what a PO is and its role in business transactions.