Hi,

If you wanted to keep track of how inventory from several vendors was selling - what you had on hand, what you sold, and what it cost, you could setup:

1521 Vendor A Inventory

1522 Vendor B Inventory

1523 Vendor C Inventory

Set up the Sales and COGS on the same sort of system

4021 Vendor A Sales, 5021 Vendor A Sales

4022 Vendor B Sales

Now if you set up each item like:

Vendor A

VASE09GR    Oriental Vase 9"  Green 1521, 4021. 5021

VASE07BL    Oriental Vase 7" Blue 1521, 4021, 5021

Vendor B

VAS09BK    Oriental Vase 9" Black 1522, 4022, 5022

Sage 50 is designed in such a way that when you enter a Sales invoice, the costing is either automatic, using the Inventory system, or is assumed to be zero, and not entered at all.  

So if you don't set up inventory items, all your sales will show as 100% profit, and all the purchases will show as 100% expense, which is normal for a 'Service' business.  If you don't keep any unsold inventory, then only set up each item as a 'Service' item so there is no inventory account to enter.

I hope that helps, please post back.

Thanks for the help. But my mistake was that when recording the purchases, I didn't put the unique names. Like Vase 7" Blue.

Just common names. Like Vase.

Also when recording the sales, I didn't choose inventory. Just made up new ones in the sales invoice.

So I ended up with unsold inventory, while It should show zero.

(As you said "sales showing 100% profit".

How do I go back and change the purchase and sales? I tried, but it is giving me some warning. So I was afraid to make any changes.

How do I make adjustments in the finished transactions (Where sales are already recorded)?

Hi,

Also when recording the sales, I didn't choose inventory. Just made up new ones in the sales invoice, So I ended up with unsold inventory, while It should show zero. (As you said "sales showing 100% profit".

The Sales and inventory system works off of information it has from before the sale.  If you have negative inventory enabled, and create a new item and sell it, Sage 50 will keep track of the quantity, but will guess that the cost is $0.00.

How do I go back and change the purchase and sales? I tried, but it is giving me some warning. So I was afraid to make any changes. How do I make adjustments in the finished transactions (Where sales are already recorded)?

It's possible to individually adjust each sales and purchase invoice, even the paid ones, enter the invoices all over again - carefully insert a row under each item, put in the inventory item, quantity, and price from the row above, then remove the quantity from the row above.  When you're done a paid invoice, the balance should be zero, and you'll have to re-check the sales taxes.

Probably easier is to just start creating inventory items as you purchase them, start using them in the Sales invoices, and at your year-end do a tally of what you have on hand.  

 - Print out your inventory list, or open it as a spreadsheet, and match up your count with the list., and

 - use Inventory Adjustments to change the quantity and value at year end, to what you actually have / had.

The next year end, it should match more closely. 

Or, a completely different way (a "Periodic Inventory" system), is to record every item as a 'service', and do counts and tally up inventory value at each year-end.  This is a lot of work as well.

Choosing which system to use will depend a lot on how much inventory you have on hand.  To use the Sage 50 ("perpetual inventory") system is a more work each time you buy new items, to set up the proper inventory accounts and the selling price, possibly a little less work for selling, since you have the prices all set up, but much less work at year end.

Hi,

Also when recording the sales, I didn't choose inventory. Just made up new ones in the sales invoice, So I ended up with unsold inventory, while It should show zero. (As you said "sales showing 100% profit".

The Sales and inventory system works off of information it has from before the sale.  If you have negative inventory enabled, and create a new item and sell it, Sage 50 will keep track of the quantity, but will guess that the cost is $0.00.

How do I go back and change the purchase and sales? I tried, but it is giving me some warning. So I was afraid to make any changes. How do I make adjustments in the finished transactions (Where sales are already recorded)?

It's possible to individually adjust each sales and purchase invoice, even the paid ones, enter the invoices all over again - carefully insert a row under each item, put in the inventory item, quantity, and price from the row above, then remove the quantity from the row above.  When you're done a paid invoice, the balance should be zero, and you'll have to re-check the sales taxes.

Probably easier is to just start creating inventory items as you purchase them, start using them in the Sales invoices, and at your year-end do a tally of what you have on hand.  

 - Print out your inventory list, or open it as a spreadsheet, and match up your count with the list., and

 - use Inventory Adjustments to change the quantity and value at year end, to what you actually have / had.

The next year end, it should match more closely. 

Or, a completely different way (a "Periodic Inventory" system), is to record every item as a 'service', and do counts and tally up inventory value at each year-end.  This is a lot of work as well.

Choosing which system to use will depend a lot on how much inventory you have on hand.  To use the Sage 50 ("perpetual inventory") system is a more work each time you buy new items, to set up the proper inventory accounts and the selling price, possibly a little less work for selling, since you have the prices all set up, but much less work at year end.

Thanks. I will be careful from now on.

Hi Georgerc,

If any suggestions provided in this thread is able to help you resolving your issue, would you please click the 'Yes' button to the question - 'Did this answer the question?'  The thread will be marked as answered, which will benefit other users who have the same issue.  Thanks a lot.