How do I track cost of good sold?

Introduction

To show increase your cost of goods sold (COGS) and decrease the value of inventory, your products must have a value. You must create a bill in QB to receive inventory.

Can I just add a purchase cost to QuickBooks for items?

The purchase cost is a default value, when you create a PO or bill in QuickBooks. Unless you have added a bill, the inventory value is zero.

When Connex adds items, why is the stock quantity zero?

Connex never receives the stock quantity, when it pushes orders to QB. If Connex create a new product with a stock quantity of five, the five items would have no value because no bill was created.

What if I am missing several weeks of cost of goods sold?

Your Accountant can perform an opening balance, which says this is your cost of goods sold at the current time and value of your inventory.

How do I add cost of goods sold to QuickBooks?

You must create a bill. Here are the steps:

  1. In QB, click vendors on the top menu.
  2. Select vendor center.
  3. Select an existing vendor or add a new one.
  4. On the top right, select new and click purchase order.
  5. Add some items, the quantity received, and a purchase cost.
  6. Click save.
  7. On the top right, click bill.
  8. From the vendor drop down, select the vendor.
  9. When prompted, select the PO that you made.
  10. The bill will populate with the PO info.
  11. Click save.

Next make some sales:

  1. In QB, click customers on the top menu.
  2. Select customer center.
  3. Select a customer.
  4. Select new and create a new sales receipt.
  5. Add line items for the product.
  6. Click save.

View your profit and loss report:

  1. In QB, go to reports.
  2. Select company and financial.
  3. Click profit and loss.
  4. Adjust the dates for today.

Here is an example report.

Can Connex Create Bills?

Some solutions that we integration can sync purchases to QB. They include LightSpeed and Linnworks. If you want our tool to create bills for each sales receipt with the purchase cost, please contact us. Our tool could create bills under a default vendor, since QB has no preferred vendor field for the items.

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