Stock locations
The Inventory module is a double entry inventory system, allowing tracking of all movement of products from suppliers to company and to customer warehouses. Stock transactions can be compared to accounting transactions.
To move products into stock, products move from a supplier warehouse to a company warehouse, when goods are sold, the product moves from a company warehouse to the customer warehouse.
In a double entry inventory system stock moves are done by transferring products from one warehouse to another warehouse, the same way as the debit and credit moves between accounts
- To define stock locations,go to the Settings > Stock Locations page of the Inventory module
- Location Name : Name of stock
- Location Code : Code of stock (can be the same location name)
- Type : Select type of stock
- Parent Location : Select the parent (Incase this category is sub-parent)
- Inventory account : Select an inventory account
- Tracking Category : Can know location that want to track
- Description : Description of stock
- Company : Select company ( Incase using multi company)
- Contact : The customer name
- Click Save to add the data
- Note : If the location still has the qty balance, the system cannot archive or delete the location
- For each inventory type the correct inventory account needs to be configured.
- Incase received the product from suppliers
Inventory Journal | Supplier Invoice Journal (When record purchase invoice) |
Dr. Inventory Warehouse A,B Cr. Goods In Transit | Dr. Goods In Transit Cr. Account Payable |
- Incase deliverable the product to customer
Dr. Cost of Goods Sold
Cr. Inventory Warehouse A,B
Location type
- Internal Locations represent the physical locations of your company warehouses. The number of physical stock locations is unlimited.
- Customers Locations represent your customer's stock.
- Suppliers Locations represent your supplier stock.
- Inventory Loss Locations is used to record stock discrepancies detected during a stock take.
- Production Locations represent the stock location for production items. This location is used for manufacturing operations for raw materials and finished goods
- Scrap Locations is used to record scrap materials left over from manufacturing operations for raw materials and finished goods
- Transform Locations is used to transform the product to other product
- View Locations is used for control other locations
- Other Locations represent your other’s stock
The inventory accounting system supports different costing methods
- FIFO (First in, First out)
- LIFO (Last in, First Out)
- Weighted Average
- Standard Cost
How to configuration the costing method
- The inventory costing method followed for products is configured in the product or product category.
- Incase config in product menu, Can be accessed via the Main Menu > Products > Products
- For each product the costing method in the Accounting tab has to be selected.
- Incase config in product menu, Can be accessed via the Main Menu > Products > Settings > Product Categories
- For each Product Category the costing method in the Accounting tab has to be selected.
