Acctivate creates entries each time you purchase, receive, adjust quantity, sell or process landed cost for inventoried items.
Acctivate QuickBooks Inventory Software creates entries each time you purchase, receive, adjust quantity, sell or process landed cost for inventoried items. Here are some example journal entries created by Acctivate followed by an overview of transactions.
Account | DR | CR |
Inventory Asset | $750 | |
Accrued Purchase Receipts | $750 | |
Inventory Receipt of goods, with or without a Purchase Order |
Inventory Adjustment | $50 | |
Inventory Asset | $50 | |
Inventory Adjustment for inventory that was broken in the warehouse |
Inventory Asset - TO Warehouse | $50 | |
Inventory Asset - FROM Warehouse | $50 | |
Inventory Transfer for inventory moving between warehouses |
Inventory Asset - Finished Good Warehouse | $50 | |
Inventory Asset - Raw Material Warehouse | $45 | |
Non-inventoried Cost Offset Account - Labor Warehouse | $5 | |
Inventory Assembly to build a finished good out of raw materials, including Labor |
Gain/Loss on Inventory | $250 | |
Inventory Asset | $250 | |
Gain or Loss on Inventory due to an Inventory Balance Adjustment |
Accrued Purchase Receipts | $750 | |
Expense Account(s) for Other Amounts | $50 | |
Accounts Payable | $800 | |
Vendor Purchase Invoice (Vendor Bill) for Inventory and Other Amounts |
Accounts Receivable | $150 | |
Sales - Widgets | $100 | |
Sales - Gadgets | $50 | |
Customer Sales Invoice for Products and/or Services |
Cost of Goods Sold - Widgets | $50 | |
Cost of Goods Sold - Gadgets | $25 | |
Inventory Asset | $75 | |
Cost of Goods Sold (COGS) from Sales Invoice above |
Inventory Asset | $150 | |
Accrued Landed Cost | $150 | |
Landed Cost allocation for Inventory Receipts, Transfers, Assemblies, etc |
Accrued Landed Cost | $150 | |
Accounts Payable | $150 | |
Landed Cost Purchase Invoice (Vendor Bill) from the vendor for freight charges from previous transaction. |
Sales Invoice | |||
Transaction Type | Debit Account | Credit Account | Note |
Release Invoice | Accounts Receivable based on Branch selection | Sales Income | |
Journal for Inventoried Products | Cost of Goods Sold | Inventory | |
Journal for Non-inventoried Products | Taken care of by entry of vendor invoices unless using non-inventoried cost offset accounts in Warehouse | ||
Journal for Non-standard Products | Taken care of by entry of vendor invoice |
Purchase Invoice | |||
Transaction Type | Debit Account | Credit Account | Note |
Inventoried Products | Accrued Purchase Receipts (Purchase account on WH) | Accounts Payable | |
Non-inventoried Products | Cost of Goods Sold | Accounts Payable | COGS account selected based on Product Class or other group for Sales/COGS setup |
Non-standard Products | Expense Account Selected | Accounts Payable | User manually selects the GL Expense account on the PO Invoice |
Other Amounts (not Landed Cost) | Expense Account Selected | Accounts Payable | User manually selects the GL Expense account on the Other Amounts tab |
Other Amounts for Landed Cost | Accrued Landed Cost | Accounts Payable | Only when Landed Cost is included on Vendor Bill |
Drop Ship Wizard | |||
Transaction Type | Debit Account | Credit Account | Note |
Sales Order Release for invoicing | Accounts Receivable | Sales Income | |
Purchase Invoice | Cost of Goods Sold | Accounts Payable | COGS account selected based on Product Class or other groups for Sales/COGS setup |
Inventory Transactions | |||
Transaction Type | Debit Account | Credit Account | Note |
Issue | Expense Account Entered | Inventory | Default can be set on Warehouse |
Receipts | Inventory | Accrued Purchase Receipts | With or without a Purchase Order |
Landed Cost | Inventory | Accrued Landed Cost | |
Adjustment/Count | Inventory Adjustment Account | Inventory | Depends on positive or negative amounts |
Balance Adjustment | Gain/Loss Account | Inventory | Depends on positive or negative amounts |
- View a complete list of Required GL Accounts
- Watch a webinar on all the above-mentioned entries
- Troubleshoot an overstated Accrued Purchase Receipts account balance