How do I track cost of good sold in QuickBooks Online?

To show increase your cost of goods sold and decrease the value of inventory, your products must have a value. You must create a bill in QuickBooks 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.

How do I create cost of goods sold?

Create an inventory part in QuickBooks

  1. On the top right of QuickBooks, click the gear box.
  2. Click products and services.
  3. Click new.
  4. Select inventory part.
  5. Enter (our name for this example is DummyPart) as the SKU and item name.
  6. Choose inventory asset, COGS, and default vendor. Look at this screenshot for an example.
  7. Click save.

Add Stock and Value

  1. Find the product that you made.
  2. On the right of the product, click the down arrow next to edit.
  3. Select adjust quantity.
  4. Enter the number of items you have in stock. Use the first of the month as the start date.
  5. Click save.
  6. Find the item again.
  7. Click the down arrow.
  8. Click adjust inventory value.
  9. Enter the cost to purchase each unit and multiply it by the quantity available. If you have 10 parts at $1 each, then enter $10:
    as_of_date.png

Create Sales

  1. Sync some sales from your ordering solution. In this example, we sold 4 items at $2 each on a sales receipt.
  2. Go back to the product.
  3. Click the down arrow.
  4. Click run report.
  5. Here is a report showing the COGS, value of inventory, and sales.

How do I add stock levels in the future?

You must create a bill in QuickBooks:

  1. In QuickBooks, click new on the top left.
  2. Select bill.
  3. Enter a vendor where you received inventory.
  4. Expand item details.
  5. Enter the items purchased. Here is an example bill.
  6. Click save.

When Connex creates new items in QuickBooks, why is the stock quantity zero?

Connex never receives the stock quantity, when it syncs orders to QuickBooks. If Connex creates 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.

Can Connex Create Bills?

Some solutions that we integration can sync purchases to QuickBooks. 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 QuickBooks has no preferred vendor field for the items.

 

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