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M
Marc-d
August 26, 2020
Question

Inventory, Products & COGS

  • August 26, 2020
  • 1 reply
  • 0 views

I'm trying to set up set-up my QB so I can track inventory & COGS.  I followed https://sellerzen.com/set-up-inventory-in-quickbooks-online-for-amazon-sales entered my products under Products & Services as per the link above.

 

When I purchase inventory from my supplier, I would create a bill, and I would enter all the items under "Items Detail", selecting the items from Products/Service, enter in the qty and the rate.

So far, my inventory valuation reports appear to be showing the COGS of my inventory.

 

However, here's my problem:

- The cost/value of the inventory is going under the Cost of Goods Sold account rather than Inventory Assets account.

- My Inventory Assets report is empty, and my COGS account is basically showing the total COGS of my entire inventory, rather than just the actual goods sold.

1 reply

L
LauraAB
August 26, 2020

Hi there, Marc-d,

 

It's awesome that you're tracking your inventory using QuickBooks Online and I'm glad to see you've found a resource that helped you set it up for your specific needs. There are also a number of articles here in the QuickBooks Community that show you how to use the various features in the program, including the Products and Services section, so if you'd like to read up more on it, you can check out those articles. I'll link some below after taking a look at what's happening here.

 

When you create a bill to purchase inventory from your supplier or even when you set up the initial amounts in the inventory configuration process, the program will add the related amount to the Inventory Asset account. The important step here is making sure that you've got your item set up to track to that account. Here's how you can check.

  1. Hover over Sales in the left menu and choose Products and Services.
  2. From your item list, choose Edit for the one you need.
  3. Make sure the Inventory Asset account drop-down is set to the Inventory Asset account.
  4. If it's not, change it to that account.
  5. Click Save and close.

With that chosen, you can see the appropriate figure in the Inventory Asset account in your Chart of Accounts and also when looking at various reports, such as the Balance Sheet.

 

If your setup seems correct and you're still not seeing things as you're expecting, it's best to contact a member of the QuickBooks Online support team. This will allow the agent to go over your setup with you and troubleshoot if necessary. There are a few ways to get in touch. Choose from one of the options below.

 

Schedule a Callback or Chat: click (?)Help in the upper right > click Contact Us > explain your situation > click Let's Talk > choose Get a callback or Start a Chat. Support is available from Monday to Friday between 9 a.m. and 8 p.m. ET.

Social Media: Facebook, Twitter, and Instagram.

 

Here are some of the articles I was mentioning earlier.

Wishing you the best with this!

M
Marc-dAuthor
August 26, 2020

I just realized that under accounts, the Inventory Asset account and the COGS account are showing the right values I think.  COGS is zero (no sales entered yet).

 

But when I run the Profit & Loss Report, all the inventory purchases show up under COGS already.

L
LauraAB
August 26, 2020

Thanks for checking up on that and giving me this follow up. When you haven't entered any sales yet, having the COGS account at zero makes sense. I definitely recommend touching base with support in this instance as a member of that team will be able to review your reports and set up with you. Our phone and chat support teams also have the option to screen share so you can show them exactly what you're seeing to come to a quicker resolution. I know business owners and bookkeepers are often busy folks and I want to ensure this is addressed in a timely manner.

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