Answer:
When a Non-Inventory Item for Resale is set as a Drop Ship Item by default, the system automatically creates a Drop Ship Purchase Order however; the system will disallow the user to save an Item Fulfillment created from the Purchase Order after clicking the Mark Shipped button if the Can be Fulfilled/Received preference of the latter item is not marked.
To resolve, edit the item record and navigate to Preferences tab then mark the Can be Fulfilled/Received checkbox. Hit Save
Note: A user can only mark the Can be Fulfilled/Received checkbox if there are no transactions recorded for the item.
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