We are a small manufacturer of espresso equipment. We use 2007 Premier Manf & Wholesale edition. I have created an inventory assembly, added all parts and the Cost of materials is $28.67. I put in a cost of $36.17 to include Labor to create this item. When I sell it, QB’s has calculated an average cost of $29.15 for this item and that is what QB uses on our P&L.
I would like to have QB use my cost of $36.17 for our P&L. Can this be done?
Thanks,
Sandy
Comments for Inventory Assembly and Cost Averaging
Feb 18, 2011
Build Inventory Assembly and COGS Credit
by: George C
Whenever I build Inventory assembly the asset Finished goods inventory account is debited and Cost of Goods Sold is credited. I feel that this journal seems to me not correct. It should be Finished Inventory account debited and Raw Material Inventory account credited. I would like to know why the Cost Of Goods Sold is credited. How can I correct this entry. Would appreciate your reply.
Feb 18, 2011
Quickbooks-Inventory Assembly
by: George C
My earlier Question relates to Quickbooks Enterprise Accounting software. When I build Inventory Assembly in Quickbooks, The Inventory Finised goods is debited and the Cost of Goods Sold is credited. I feel this journal is not correct.Since we are shifting inventory from one asset account to another asset account ie Finished Goods account, the cost of goods sold account should not be affected.Only the Inventory account should be affected. Would appreciate a reply, showing how to correct this mistake.
Sep 27, 2011
Inventory Assembly and Cost Averaging
by: Anonymous
I too am having the same issues with build assemblies – it’s increases our inventory and reduces our cost of goods. I too feel that this is incorrect. Please advise. Thanks.
My name is Jennifer Johnson and I’ve worked in the accounting industry since 1992, mostly as a freelance bookkeeper and QuickBooks consultant for small, privately-held firms. I had clients across the country and was certified in QuickBooks from about 2004 to 2011. I wrote a number of ebooks about QuickBooks during that time. In 2011 I accepted a full-time staff position with my largest client, and sold my bookkeeping practice. I finished my undergraduate degree in accounting in 2016, and then my masters in accountancy in 2018. I now teach accounting at the University of Illinois Urbana-Champaign, one of the top accountancy programs in the United States, if not the world. AMDG
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