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In this video tutorial, Talha demonstrates how to create a purchase order using Google Sheets, an essential document in trade transactions. He begins by selecting a purchase order template from the Google Sheets template gallery, noting that users can also create their own templates if needed. Next, he outlines the process of creating various sheets to store necessary data: a vendor sheet for vendor information, an items sheet for item details, a logs sheet to track orders, and a settings sheet for the purchase order number. Once these sheets are set up, viewers can proceed to create the purchase order sheet itself.