In this article you will learn how to use inventory assembly items for building and tracking your finished goods. This can be done in QuickBooks Desktop Premier, Enterprise, or Accountant. To know more, call QuickBooks Support.
If you are new to tracking the products you manufacture? This is what you need to read.
In QuickBooks, you can combine inventory parts and other items in order to build a product. To learn how to get started check out our inventory assembly overview
You can start building once you set up your product’s bill of materials. QuickBooks updates the stock of components you use when you try building a new product. Therefore, you do not have about tracking your product’s parts or materials manually.
Assemble your product in QuickBooks
- Select Build Assemblies from the Inventory menu.
Please Note: Go to Vendors and select Inventory Activities if you are unable to see the inventory menu. Now, build assemblies.
- From the Assembly Item drop-down, select the product you want to build.
- For this product at the top, check the available quantity. By doing this you will be able to know how many more you need to build.
Pro-tip: The number of this product you have on hand, minus what’s ordered by customers and reserved for pending builds is equal to the quantity available.
- The list of components you need to build your product is visible. You’ll have to review the quantity on hand, quantity required, and other information.
- To add the Quantity to Build. Depending on the quantity you want to build the numbers in Qty Needed column gets updated. Pro-tip: Click on the “Maximum number you can add to this build on this date” checkbox present at the bottom of your components list. By doing this you will be able to know how many of this item you can build on the basis of your current stock of components.
- Check automatically build required subassemblies if you use another assembly item to build this product. By doing this QuickBooks will helps you in building the assembly that you may also use as a component.
- Add a Memo.
- Click on Save and Close.
- If it shows “Not enough components on hand” this means that there are no enough parts on hand to build the quantity that wish to. You will have two options:
- Click on Cancel and then decrease the number in Quantity in order to build field.
- You can also click on Mark Pending for now. You can go back to this build transaction once you have enough items in stock and then click on Remove Pending Status.
Pro-tip: To see what components you need to reorder from your vendors you can click on the select Show Shortage.
Read the article further to learn how to set up a product you manufacture using components in your inventory. This feature can only be used in QuickBooks Desktop Premier, Enterprise, or Accountant.
- If you are new to tracking the products you manufacture? This is what you need to read.
- In QuickBooks, you can combine inventory parts and other items in order to build a product. To learn how to get started check out our inventory assembly overview
- Setting up a list of all the components that you can use to build a product, follow the steps given. We call this list your bill of materials in QuickBooks. By doing this you can organize and track the products that you wish to assemble from inventory parts and sell.
Pro-Tip: Don’t track as a single item for the products that you buy or sell together. Instead, try creating a group item instead. For e.g., a gift basket of fruit, cheese, or wine.
Creating an inventory assembly for tracking bill of materials
- Using an item called inventory assembly you can add your bill of materials. You can use this item once you’re done to start building your product.
- Select Item List from the Lists menu
- From the drop-down, select the Item and then click on New.
- Now, click on Inventory Assembly.
- After performing the steps given above, add your product’s name or build number.
- Select I purchase this assembly item from a vendor if you buy from a vendor. Please Note: If you buy this product assembled from a vendor chose this option. Skip this if you build the product yourself.
- Add the Cost. This is the cost referred to the total cost of all the parts in the bill of materials. It can include other expenses also.
- Select Cost of Goods Sold from COGS Account drop-down. QuickBooks uses this account To track the cost of products you sell, QuickBooks uses this account.
- Add a description for the product.
- Add the price of Sales. Now, click on the Income Account drop-down and then find the account that you can use to track sales of finished goods. Pro-Tip: Scroll to the top of the drop-down list if you need a new account and then click on select.
- Select the items you use to manufacture under Bill of Materials. Change the quantity and unit of measure of each item if you wish to.
Under the inventory information add the following:
Asset Account: To track the total cost of finished goods in your inventory QuickBooks uses the asset account. You can choose an account that QuickBooks had already set up for you. You can also go to the top of the drop-down and the click on <Add New>.
Build Point (Min): The minimum point when you should build more of this product is known as the build point (min). You can use QuickBooks to remind you when it’s time for you to build.
Max: This is the max number of this product to build.
On Hand: This the current quantity of this product that is present in hand.
Total Value refers to the total cost of finished goods you have in stock .
Click on OK.
To know more on how to use Inventory Assembly Items in QuickBooks Desktop, call us on our QuickBooks customer support number or write to us at firstname.lastname@example.org . For more information visit, www.quickbooksupport.net.