All items in Ambrook require:
An item name
An item group
The primary unit of measurement for the item e.g. pound, each, etc
Beyond those fields, there are a number of additional pieces of information that need to be set up for operational and accounting purposes.
Tracking Inventory
After selecting Track Inventory for an item, there are number of required fields to fill out that determine the accounting details of the item:
Starting Value: This is an optional field where you enter information for on-hand inventory if you produced or acquired your inventory before the date you want to begin tracking it on your books. Entering a value here will create Opening Balance Equity on your balance sheet. For more information about determining the starting value you can read here [LINK]
Starting Date: This is the first date that your inventory account will appear on your balance sheet, and the date on which your starting value will be debited if you entered it.
Costing Method: This is the business logic Ambrook will use to calculate your inventory-related expenses when you use or sell inventory items. You can read more about the different costing methods here. [LINK]
Expense Category: This is the default expense category tag applied to your inventory-related expenses on both a cash and accrual basis.
In addition to the above required fields, there is also a check box to Account for Self-production. Ambrook is specifically designed for produced inventory. Checking this box will create a special income category tag which gets used if you record inventory production events. You can read more about that here [LINK]