Maintain Inventory Item

As we are starting business for making transaction before we make transactions we have to set up our inventory. Means we are baking company and produce cakes.
   

1)   First open the Peachtree software click on the “Maintain Menu” then select the 5^th option that is “Inventory Item”. 

2)   When we click on the inventory item following window will appear with five different   tabs.  And to record the inventory data the under mentioned 5 fields should be filled in  

a.      Item ID

b.      Description

c.       Item Class

d.      GL Sales Account

e.       GL Inventory Account

f.       GL Cost of Sales Account

3)   As we are manufacturer and produce “Cake” so we have to enter all the necessary ingredients from raw material to finish goods which are included in baking process of cake. For this purpose something to be mention is mandatory which are given below:-

Item ID	Description	Item Class
100	Baking oil	Stock Item
102	Baking powder	Stock Item
104	Sugar	Stock Item
118	Chocolate cake	Assembly

After entering the necessary accounts we will click on the “Save” button or press “ALT + S” to save that Inventory items in our records.

4)   To view the recently made ingredients of cake we click on the “Magnifying Glass” and view all the items from raw material to finish goods. In the above window we have to mention 3 other important things that are different in case of raw materials and finish good. Which are given below:-

  

Item Class vary with the items explain with example as under:-

Items	Item Class
a.       Raw material use in any manufacturing work e.g. in manufacturing computer the raw material which is use in it is steel sheets, mother board, processor, ram, LCD etc.	Stock Item
b.      In every manufacturing process Labor is used.	Labor
c.       When good is manufactured means Finish Goods	Assembly

 

Maintain Assembly Item

5)   As for assembling a “Cake” we need baking oil, baking powder, sugar, egg, chocolate powder etc. Chocolate Cake will be considered as “Assembly Item” and the components of it will be saved as the “Stock Item”. In the above window we can see that when the Finish Product is selected that is “Chocolate Cake” the item class is fixed or can not change.

6)   In order to maintain assembly item first give item ID and then description after that select the  item class as assembly in maintain inventory item than the Bill of Material Tab field will appear we just enter account IDs and after saving it we will be enable to enter the “Beginning Balnces” in  it.

7)   As we successfully created the inventory items we click on the “Beginning Balance” button the above screen will appear.

8)   As we enter item id we will be able to enter Quantity, Unit Cost and Total Cost. After entering all the balances for saving them we have to click on “Ok” for save them.

9) To check the inventory available with us we will click on the “Report” button and select the 6^th option that is “Inventory” the following window will appears.

10) Then we select the 9^th option that is “Inventory Stock Status Report” this shows that how much inventory is now in our hand.