Hello and welcome to the lesson on managing inventory which simply refers to the goods that a business either produces or buys and then resells. Using tracking or managing inventory will help you to know the quantities that you have either produced or the bought quantities sold and the quantities remaining. Thus, will also assist with stock count or stock taking among others. Now, how do we manage inventory in built?

First, when inventory is bought it needs to be recorded for tracking to be done. The option to track inventory must be selected when the product is created. I will demonstrate this briefly, I will choose the option to track inventory before saving this product. We can see that at the moment we have zero of our products called trackers. In order to increase the quantity of the product that we have created in the system, we would record that using a bill.

In this example, we are purchasing 100 pieces of the product trackers to verify what we have just done. We would go back to product and services and check the quantity we have and we can confirm that we have 100 pieces of this product. The next thing to do with managing inventory is selling inventory and so I will go ahead and create a credit sale as well as a cash sale then we take all look at the effects on the quantity of the product.

Take note that in this example we are selling 15 pieces of the product. I will then go ahead to record a cash sale as well. Here, I make a sale for another 15 pieces so in total we would have sold 30 pieces. Let’s now go back and take a look at the effect on the quantity. We can see here that we have 70 pieces remaining after having sold 15 on credit and 15 for cash this summarizes how tracking inventory or managing inventory in built works.

Finally, you can always go to the dashboard and also view your inventory values from

there. To recap, we have demonstrated how to stock products which you are tracking and how to issue invoices or cash sales for those products and where you can always go to refer to the quantities remaining to be sold.