COGS, purchasing, inventory??

fredericksauto · ‎March 24, 2021

Ok, so I have read similar posts to my own, but I still have questions about where to list certain items. I run a small auto repair and maintenance shop. Because I am so small, I only order parts when a customer needs a repair. Otherwise, I only purchase oil and oil filters to keep on-hand. I don't have the inventory feature, so I have been using the purchases account to show my inventory of oil and oil filters. Once a customer comes in for an oil change, I take the products out of purchases and put them in COGS. I do the same for the auto parts I may need for repairs. Am I doing this right??

Rustler · ‎March 24, 2021

Yes you are.

The only thing I would suggest is that you start using non inventory items for purchases (item linked to COGS or better COS for customer orders). That will allow you to see the qty ordered over time and then from that you can determine whether or not you should stock a specific item

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Rustler · ‎March 24, 2021

Yes you are.

The only thing I would suggest is that you start using non inventory items for purchases (item linked to COGS or better COS for customer orders). That will allow you to see the qty ordered over time and then from that you can determine whether or not you should stock a specific item

Giselle · ‎March 24, 2021

Hi, I'm new to this forum, but I've been using the inventory feature in QB since 1996. I have never heard of QB not having the "Inventory feature". Can you elaborate on this? If you have a COGS account, you must have the inventory feature because COGS refers to inventory.

fredericksauto · ‎March 26, 2021

Thank you for posting this. I checked the package that I was currently using. I thought that COGS was just an account in my chart of accounts that came standard, but it turns out that I am paying for inventory management. I went to some online forums and found that there is a place in my settings to turn this on. Without you posting this, I never would have known. So thank you!

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COGS, purchasing, inventory??