In QuickBooks Desktop, after recording a purchase order, you can receive inventory with bill or without bill. Recording the inventory received and the corresponding bill, if given, updates the quantity on hand for each item, and the payable to the vendor.

Receive inventory with bill

Use this option if you received the items and the corresponding bill/s for them.

1. From the Home page, select Receive Inventory drop-down and choose Receive Inventory with Bill.
2. On the Enter Bills window that appears:
3. From the drop-down, choose the vendor name.
4. Click Yes to receive a purchase order for the bill.

1. Select the correct PO and click OK.

1. Review the information on the Bill. Note that except for the Memo field, any fields that were filled in on the PO are carried over to the Bill.

1. Click Save & Close.
2. When you are ready to pay the bill, proceed to Pay Bills.

Receive inventory without bill

Use this option if you received the items but the vendor did not provide the bill yet. This will create an Item Receipt which increases your inventory asset account and accounts payable.

1. From the Home screen, click the Receive Inventory drop-down and choose Receive Inventory without a bill.
2. On the Item receipt window:
3. From the drop-down, choose the vendor name.
4. Click Yes to receive a purchase order for the bill.

1. Select the correct PO and click OK.

1. Review the information on the Item Receipt. Note that except for the Memo field, any fields that were filled in on the PO are carried over to the Item Receipt.

1. Click Save & Close.
2. When you receive the bill for the inventory, proceed to Entering bills against Inventory.