This item type is used to keep track of goods your company purchases, tracks, or resells.
Note: This item is available in QuickBooks Desktop and QuickBooks Online.
To add this as an item, you will need to add a new item within the Items app, and choose Inventory Part.
If you do not see the Items app, you will need to get access permission for this app from your administrator. The Items app is found in the Accounting Lists Pack.
When you select Inventory Part, you'll be taken to the New Item Screen. The fields are described below.
- Item Name/Number: Identify the item by name or by number.
- Subitem of: Choose an existing item to associate this item in the dropdown (e.g. a nut or bolt might be a subitem of a larger mechanism being sold).
- Manufacturer's part number: Used to keep track of the part number when ordering from the manufacturer.
- Unit of measure: Specify how the amount of parts is measured (for example, in units, sets, etc.) These options come from QuickBooks.
- Active inventory item: Click on this option to ensure this item appears in the "Active" filter view in the Items list, and so it will also appear in drop down lists throughout Method.
- Sales description: Include a description of the item that was sold. Use it to include additional information that isn't covered in other fields on this screen.
- Sales price: The amount your company charges for this item, in dollars.
- Tax code: Choose whether or not this sales amount is tax-applicable.
- Income account: Choose which account is associated with the customer payment. These options come from QuickBooks.
- Purchase description: Include a description of the purchased item. Use it to include additional information that isn't covered in other fields on this screen.
- Cost: The price of the item purchased in dollars.
- COGS account: Short for Cost of Goods Sold. The account debited for the purchase of the goods. These options come from QuickBooks.
- Preferred vendor: The vendor you usually use to purchase these goods. These options come from QuickBooks.
- Reorder point: The number at which inventory must be reordered (for example, if your inventory should never dip below 15 units, that is your reorder point). These options come from QuickBooks.
- Asset account: The account used to track the overall value of your inventory. These options come from QuickBooks.
- Quantity on hand (read only): Calculated from the items on invoices and sales receipts.
- Quantity on sales order (read only): Calculated from items currently on open sales orders.
- Quantity on order (read only): Calculated from items currently being ordered from vendors.
- Item Dimensions (Height, Length, Width, Weight): The physical dimensions of a single unit of product: length, width, height, and weight.
- Save & New: Saves the new or edited item and clears the fields for a new entry.
- Save & Back: Saves the new or edited item and goes back to the previous screen.