was successfully added to your cart.

How to Handle Inventory From a Vendor Expenses & Backorders QuickBooks Online Tutorial 2018

By July 9, 2018Uncategorized

We present our purchase order. Off to the vendor waited a couple of days and our inventory has arrived is time to enter that transaction to QuickBooks detailed with books about inventory going up and potentially us also either spending money or receiving a bill from the vendor to enter the receiving of inventory first open the create menu and then enter either an expense a check or a bill if you pay for the inventory right away as soon as it’s received. You enter the transaction either as an expense or a check, a check is used. If you pay for the inventory right away and you pay for it with a physical check whether it’s handwritten or printed out of QuickBooks and expenses used. If you pay for the inventory right away and you use anything other than a check. A bill is used. If you receive the inventory and the vendor gives you a bill telling you how much money you owe them and also a due date seer to be paying them later on, after you’ve actually received the amatory. The method for entering any of these transactions is exactly the same. The only difference is when and how your paying your vendor are vendor gives us a bill to pay later so will record a bill for the vendor enter the vendor that sending you the inventory and if you have an open purchase order. You’ll see that over your on the right. We entered a purchase order earlier for some lawnmowers, so that’s what this purchase order is for. Let’s add it on to the bill and now in the item details area. We can see the lawnmowers that we ordered. If any information on the bill is different from what it was on the purchase order, such as the amount of inventory being delivered or the amount your paying per unit you can change them right here. For instance, Hicks hardware didn’t have 100 lawnmowers on hand, so they only sent us 50 so will enter 50 right here on the bill and now the bill will only be for $10,000 instead of $20,000. We also need to record our terms. Bill date and due date here in the middle of the screen as well as the bill number that are vendor sends to us. There is also an area right here for memo and any attachments of your vendors. Provided you with a PDF of the bill. You can attach it to the bill as you enter it now and save and close this transaction, regardless of whether you received your inventory with an expense a check or a bill. QuickBooks now knows about you owning that inventory. And if you record the transaction as a bill. You can keep track of the amount of money that you owe your vendor by going to expenses, vendors, and here we can see Hicks hardware in our accounts payable balance with them. If you’re receiving inventory on a purchase order and it was only a partial fulfillment of that purchase order. You can also track the progress of the open purchase order by going to reports and then running the open purchase orders detail report from this report, we can still see that the purchase order is open and the original purchase order was for 100 lawnmowers. But we’ve only received 50 which means that we still have 50 on backorder so QuickBooks will keep track of the purchase order. How much is been fulfilled, and how much is not whenever you receive the amatory from that purchase order, use expenses, checks and bills to tell QuickBooks about you receiving inventory

 

Leave a Reply