Inventory

Creating inventory transfers

When creating inventory transfers, you should determine the type of transfer you need:

• If you haven't set up a finished item's auto-build information but you want to immediately build the item, you should enter a typical inventory transfer. (To transfer inventory items)

• If you've already set up a finished item's auto-build information, or if you wish to build many different finished items, you should use the auto-build inventory feature. (Auto-building items)

After you've created an inventoried transfer, you may decide that the total value of the finished item is actually greater than just the sum of the values of its components. If a finished item is built by human labor, for example, you might decide that labor costs should also be included in the total value of the finished item.

To increase the total value of a finished item, create a special inventory adjustment for the item. If the increased total value of the item is due to the cost of labor, you should allocate the inventory adjustment to a wage expense account.

Step by step

• To transfer inventory items