A purchasing matrix is a collection of formulas that calculate the cost you pay for your inventory based on different purchasing scenarios. For example, if one vendor offers you a 10% discount when you purchase 10 or more cases of paper from their company paper product line, you can set the formula to calculate that 10% discount automatically when the purchase order is made.

You may update these formulas at any time, provided you have the correct access level.

Note that the Purchasing Matrix is similar to, but different than the Price Matrix. Using the Price Matrix, you set pricing formulas for your customers when they buy those products from you. Using the Purchasing Matrix, you set pricing formulas for the discounts offered to you from your vendors. Since these are discounts offered from vendors, there are fewer options when creating purchasing matrix formulas; however, if you understand how to work with the Price Matrix, then you can apply those concepts to the Purchasing Matrix.

- If you want to learn how purchasing matrices work using real world examples, see Understand real world purchasing matrix scenarios.
- Once you know how they are applied. you can learn how to Create a purchasing matrix formula , and then Update or delete a purchasing matrix formula.