Page 2 Chapter 2
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CHAPTER 2
Selling Goods and Services
DAWSON SUPPLIES
43 Scartho Rd, Immingham, DN20 6NP
Tel. 01469 515444
R Patel
132 Anglian Way Date: 18/08/2017
Norwich
NR3 6FG
Thank you for your enquiry regarding our rolls of blue cotton dress material. I can
quote as follows:
50 Rolls of blue cotton dress material @ £75.00 per roll, excluding VAT.
This quote is valid for 3 months
Our terms are strictly Cash on Delivery
A D Dawson
Director
It is good practice to include the period for which the quotation is valid and to state the
terms of payment and any delivery charges if applicable. You will also often see ‘E&OE’. This
stands for ‘Errors and Omissions Excepted’. It means that if a genuine error has been made
in the preparation of the quote, then the supplier cannot be held to it. Of course the
quotation should be signed and dated.
So let us suppose the customer is happy with the quote and decides he or she wants the
goods. A small business would probably just phone up and say he or she wants the goods.
Larger companies will supply a purchase order.
A purchase order has:
an individual reference number
a product code if available (an example of coding which is particularly useful when
using a computer accounts package)
a quantity
a description of the goods in full
a unit price and a total price (not really necessary as the supplier will know the price,
but it is useful as a check that the correct price has been quoted)
an authorising signature and date (most important as the supplier will probably not
fulfil the order without this).
an invoice address and delivery address
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