QuickBooks: items and Inventory: Company Preferences ...

The Items and Inventory?section of the preferences section is an important part of QuickBooks. However, it is only important if you are dealing with a company that sells items. Service companies do not need to work much with this screen, unless they are looking to turn inventory options off in QuickBooks. Here is a run down of the options in the Company Preferences?section. We will continue this description in further part 2, and we will be detailing the Advanced Inventory Settings on this page in a later post.

• Inventory and Purchase Orders are Active
• Check this box if you use inventory in your business. It will give you access to the items and inventory features in QuickBooks. If you do not check this box, then most of the rest of the Items and Inventory screen will be grayed out.
• Warn about Duplicate Purchase Order Numbers
• Checking this box will cause a warning message to display if you try to enter a purchase order with an order number that is already in your QuickBooks company file.
• When Calculating Quantity Available for my inventory, deduct:
• Quantity Reserved for Pending Builds
• This option will take away any inventory that is needed for filling a pending build order. A pending build order is an order that could not be filled due to lack of inventory. So if you have a pending build order, checking this option will automatically deduct the inventory needed to fill the order.
• Quantity on Sales Orders
• Checking this box will make it so that uninvoiced items on sales forms will not show in the Available Inventory screen.

Source: http://fasttracconsulting.com/2012/02/quickbooks-items-inventory-company-preferences-part-1/

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