Version: Current

FAQ: What's the difference between Quantity-based and Amount-based matching?

When matching invoices to Purchase Orders (POs), Zudello can primarily focus on either the Quantity of items or the Amount (value) being billed. The method used is configured by your administrator in the Allocation Extension settings.

Quantity-Based Matching:

Focus: Matches based on the quantity field.
How it Works: Compares the quantity on an invoice line to the remaining quantity available on the matched PO line(s). Allocations track units.
Status Determined By: Remaining Quantity (Is it zero?).
Variances: Calculates price variances by comparing unit_price between the invoice and PO for the allocated quantity.
Best For: Goods, inventory items, physical assets – situations where tracking the exact number of units ordered vs. received vs. invoiced is critical.

Amount-Based Matching:

Focus: Matches based on the total_exclusive_local (value excluding tax in local currency).
How it Works: Compares the amount on an invoice line to the remaining amount available on the matched PO line(s) or header. Allocations track monetary value, effectively "drawing down" the PO value.
Status Determined By: Remaining Amount (Is it zero, within tolerance?).
Variances: Price variances are generally not calculated or displayed prominently, as the focus is on the total value. Discrepancies are reflected in the remaining amount.
Best For: Services, subscriptions, blanket POs, retainers – situations where the total value is the primary concern and quantities might be irrelevant (e.g., quantity = 1) or variable.

Understanding which method your system uses for different types of purchases helps interpret matching results and troubleshoot discrepancies correctly.