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Can you turn off the COGS entry in Inventory? Using Desktop Pro

I'm working with a client that wants to use inventory to track the value of what he has. He produces a drink and bottles it and expense all of his cost as he goes (therefore not needing COGS). He adjusted the inventory value to reflect the value of what he has to sell. He wants that to show up on the balance sheet and then when he sells a bottle, that amount to move over to sales. Its all working except QB is creating a COGS entry . I understand why this is happening but is there a way to keep QB from booking the COGS entry
 or a work around. I haven't been able to come up with anything?
2 Comments
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Re: Can you turn off the COGS entry in Inventory? Using Desktop Pro

Your question is somewhat contradictory because by definition selling goods that have inventory value gives rise to COGS.  I guess what you are saying is that for some reason you want to handle this manually.  I'll assume you have that figured out.

In that case you should be using a 'non-inventory' type item on the sales invoices - there are no COGS for those items (or service type items) 

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Re: Can you turn off the COGS entry in Inventory? Using Desktop Pro


@shelly6 wrote:
I'm working with a client that wants to use inventory to track the value of what he has. He produces a drink and bottles it and expense all of his cost as he goes (therefore not needing COGS).

Then the expense is posted and inventory item should not be used.

He adjusted the inventory value to reflect the value of what he has to sell.

Not the way to do it, the expense has already been booked, so there is no vale to what is on hand

He wants that to show up on the balance sheet

Again the expense is booked, there is no inventory value to show on the balance sheet

and then when he sells a bottle, that amount to move over to sales. Its all working except QB is creating a COGS entry . I understand why this is happening but is there a way to keep QB from booking the COGS entry
 or a work around. I haven't been able to come up with anything?

 

Well no it is not all working.  From what you say there a double posting of expense, once when he buys it, and again when it is sold.

 

He needs to either use inventory correctly or not use it at all and you do things using the periodic inventory method.