Accounting
Tracking inventory
Quantity on hand, first-in first-out cost, and cost of goods sold.
Inventory items track how many you have and what they cost. Buying them on a bill or expense adds to quantity and to the Inventory Asset account. Selling them reduces quantity and records cost of goods sold at first-in, first-out (FIFO) cost.
Use an inventory adjustment on Inventory for counts, damage or shrinkage.
The Inventory Valuation reports show quantity and value per item.