I'm trying to find information on how QBO determines the initial costs of inventory.
I began tracking inventory on 7/1/23. Some products were entered with 0 starting initial quantity on hand, because we were out of the product. I have since restocked the product several times, entering an expense reflecting the purchase quantity and amount.
When I pull up the Purchases by Product/Service Detail report I noticed some products with a 0 starting initial quantity on hand now how a rate/cost by it, and some do not. Some products with a positive starting initial quantity on hand also have a rate/cost by it (I can't remember if I entered the initial cost or not).
Does QBO generate the initial rate/cost based on the expense purchase amount? Or does it always need to be entered manually?
Thank you in advance!
