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Inventory Items

The Inventory Items tab in Manager.io serves as a comprehensive module for creating, monitoring, and managing your inventory. This guide provides a detailed overview of how to utilize this feature effectively.

Inventory Items

Creating a New Inventory Item

To create a new inventory item, click on the New Inventory Item button.

Inventory ItemsNew Inventory Item

For detailed instructions on completing the inventory item form, refer to the Inventory Item Form Guide.

Setting Starting Balances

If you have existing inventory quantities, you can set starting balances by navigating to Settings, then selecting Starting Balances. For more information, see the Starting Balances for Inventory Items Guide.

Default Accounting for Inventory Transactions

By default, when using the Inventory Items tab:

  • Purchases of inventory items will debit your Inventory on Hand asset account.
  • Sales of inventory items will credit your Inventory Sales income account.
  • When an inventory item is sold, the Inventory on Hand balance is reduced by the Unit Cost multiplied by the quantity sold. The amount is debited to the Inventory Purchases expense account, reflecting your cost of goods sold.

Recalculating Unit Costs

The Unit Cost can be recalculated using the Recalculate button. For more details, refer to the Recalculating Unit Cost Guide.

Understanding Columns in the Inventory Items Tab

The Inventory Items tab features several columns, each providing specific information about your inventory items:

Item Code

Displays the code assigned to an inventory item.

Item Name

Shows the name of the item as defined in the inventory item entry.

Valuation Method

Indicates the valuation method for the inventory item, used when recalculating unit costs. For more information, see the Recalculating Unit Cost Guide.

Control Account

Displays the control account associated with an inventory item. By default, inventory items are assigned to the Inventory on Hand control account. You have the option to set up custom control accounts if needed.

Division

Shows the division associated with an inventory item. This column is pertinent for those utilizing divisional accounting.

Description

Displays the description that has been set for the inventory item.

Qty Owned

Shows the total quantity that has been acquired but not yet sold or written off.

  • Includes all general ledger transactions.
  • Delivery Notes and Goods Receipts have no effect here because they are not general ledger transactions.
  • Clicking on the Qty Owned figure displays a list of transactions contributing to the balance.

For more information, refer to the Inventory Item Qty Owned Guide.

Qty to Deliver

If you are using Delivery Notes, this column tracks sold items that are yet to be delivered.

  • Increased by Sales Invoices.
  • Decreased by Delivery Notes and Credit Notes.

Qty to Receive

If you are using Goods Receipts, this column tracks purchased items that are yet to be received.

  • Increased by Purchase Invoices.
  • Decreased by Goods Receipts and Debit Notes.

Qty on Hand

If you are using Qty to Deliver and/or Qty to Receive, the Qty on Hand shows your physical quantity on hand.

  • Increased by Goods Receipts.
  • Decreased by Delivery Notes.
  • Excludes Sales Invoices unless they also act as delivery notes.
  • Excludes Purchase Invoices unless they also act as goods receipts.
  • Includes all other general ledger transactions.

Note: Sales Invoices, Purchase Invoices, Debit Notes, and Credit Notes affect Qty Owned but have no effect on Qty on Hand. Conversely, Delivery Notes and Goods Receipts affect Qty on Hand but have no effect on Qty Owned.

Qty Reserved

If you are using Sales Orders, this column tracks the quantity reserved.

  • Increased by Sales Orders.
  • Decreased by Delivery Notes linked to Sales Orders.

Qty Available

Shows how much inventory is physically available on hand that can be immediately sold and delivered. It is calculated as:

Qty Available = Qty on Hand - Qty to Deliver - Qty Reserved

Qty on Order

If you are using Purchase Orders, this column tracks the quantity of items ordered but not yet received or invoiced.

  • Each purchase order maintains its own Qty on Order balance.
  • Calculated as: 
    Qty on Order = Qty Ordered - Max(Qty Invoiced, Qty Received)

Qty to Be Available

Provides a glimpse into future stock levels. It is calculated as:

Qty to Be Available = Qty Available + (Qty to Receive, if positive) + Qty on Order

Qty Desired

Corresponds to your specified Reorder Point for an inventory item. This figure cannot be clicked on directly. To change it, click the Edit button on the inventory item.

Qty to Order

Shows the quantity that needs to be ordered from the supplier to reach the desired stock level. Calculated as the difference between Qty Desired and Qty to Be Available.

  • When new stock is ordered or purchased, it increases Qty to Be Available, thus reducing Qty to Order.

Unit Cost

Displays the unit cost for the inventory item.

  • If the unit cost has not been entered, a question mark (?) appears.
  • Set the unit cost manually by clicking the question mark or use the Recalculate button to calculate based on the FIFO (First In, First Out) method.

Total Cost

Shows the total cost of inventory items currently in stock. Calculated as:

Total Cost = Qty Owned × Unit Cost

Customizing Columns

To customize which columns are visible, use the Edit Columns button. For more details, refer to the Edit Columns Guide.

Utilizing Advanced Queries

Use the Advanced Queries feature to organize inventory items by filtering, sorting, and grouping them within the Inventory Items screen. For instance, to display a list of inventory items showing only the Qty on Hand, your advanced query might look like this:

Select
Item codeItem nameQty on hand
Where…
Qty on handis not empty

You can modify the query to display:

  • Qty to Deliver: See items awaiting delivery to customers.
  • Qty to Receive: Identify items still to be received from suppliers.
  • Qty to Order: Find inventory items that need to be ordered to restock.

By understanding and utilizing these features, you can effectively manage your inventory within Manager.io, ensuring accurate tracking and efficient stock control.