Good Day and I hope you can help me.
We made purchases of a shirt from a vendor. For every purchase of 1,000pcs of shirts, we get 100pcs for free. The item is linked to an inventory account.
I am not sure how to enter the 100pcs free shirts.
This is what I do.
Create a bill and on the 1st line item, enter the 1000pcs let say with a purchase price for $2 each. Let say my item code for that in QB as Shirt 1.
On the 2nd line item for the promo shirts that are free, I used an item called Promo/Discounts Shirt, 100pcs at $0 price. I created a GL linked to the item as other income/expense account.
My question now, is the entry correct for the promo?
Will the 100pcs free shirt be counted in my inventory?
Thanks.
