The Search screen for Items will be shown. Click New toolbar button.
In the Type field select Inventory type.
The Inventory item type is used for regular items you purchase/sell. This type is also used for items used as ingredient to a recipe. This item type tracks stock quantities. |
Select Category.
Category is used to group together items that are of the same kind. Doing so will be easier to assign Tax and GL Accounts to items since you will not have to assign/add it on each and every item. Instead, Tax will be assigned and GL Accounts will be added to the Category, then once Category is selected for the item, Tax and GL Accounts will be applied. Though you can still define Tax Class and GL Accounts at item level. Ex. GL Accounts for selected required accounts can be modified at Item Level. Note that for Item with Inventory type and will be used as ingredient to a recipe, it is required that you have Work in Progress GL account setup. You can setup that at Category Level or Item Level like shown in the screenshot above. |
Select Commodity.
Commodity is used to group together items that are of the same commodity. This is required if you will use the item in a Contract, either in Purchase Contract or Sales Contract. It is in Commodity where you will configure the Unit of Measure. Once Commodity is selected for the item, it will auto-populate the item's Unit of Measure grid. This is handy since you will not have to add Unit of Measure to each and every item. Though you can still define Unit of Measure at item level. |