Items and inventory
Invoicing for inventory items
When you invoice a tracked inventory item, Wafeq automatically reduces the quantity on hand and the inventory value of the item in the chosen warehouse by the quantity you sold. Wafeq will recognize the expense of the sold items on the Profit and Loss statement using the average cost method.
Step-by-step instructions
To sell an inventory item:
- Create an invoice
- Select the
Warehouse
that you're selling from. - Choose the
item
you want to sell from the drop-down menu displaying the items you had created in your inventory. - Save and send your invoice, or mark it as
Sent
- Select the
- Go back to items or the
Inventory Movement Report
and check the updated quantity on hand of your item in inventory. Wafeq also recalculates your inventory value based on the average weighted cost method.
Inventory costing method
Wafeq’s inventory tracking system recognizes your expense per unit based on the average weighted cost method.
Common issues
When I issue an invoice for an item, the cost of goods are not being recognized
This can happen if:
- There is no history of the item's cost in Wafeq. For example, you've never purchased the item or entered an initial quantity and value in inventory adjustments.
- The invoice is still in
Draft
status