Inventory Settings 

Default inventory settings are to be configured. These default settings will configure stock journals and other accounting dimensions. Perpetual and Periodic inventory costing methods are supported. Negative stock can also prevented which is required for the perpetual inventory method by selecting the manu Inventory > Costing >  and then click Inventory Settings.

• To inventory setting divided into three section.

• Journals : The journal categorized by type of stock movement

• Account : Those account uses for landed cost.

• Variance Cost is the account to support the variance cost between estimate and actual cost.
• Estimate Shipping Account is a temporary account to record estimated shipping cost.
• Estimated Duty Account is a temporary account to record estimated duty cost.
• Actual Shipping Account is a shipping expense account for using to record actual costs.
• Actual Duty Account is a duty expenses account for using to record actual costs.

• Inventory Costing Mode : Select Inventory Method ( perpetual or periodic )

• Tick a box Auto Compute Cost,  the system will automatically to compute cost
• Tick a box Prevent Validate Negative Stock, If wouldn't like to see negative in stocks
• If untick a box Prevent Validate Negative Stock, the system allows validate to negative balance in stocks

Perpetual Inventory Method

• The perpetual method recording every transaction through inventory systems. It does track inventory on a daily basis. The Perpetual method keep a running account of the company’s inventory .

Periodic Inventory Method

• The periodic method only updates the ending inventory balance in the general ledger when you conduct a physical inventory count.