Correct way to enter purchase invoice

[Brucanna]

To clarify, if you are running an inventory system then the first screenshot
If you are not running an inventory system then the second screenshot as you would be operating by the opening/closing stock system.

Both are valid, it just depends on the level or type of inventory control system used. Completely read the following topic

Inventory accounting using Opening Stock + Purchases - Closing Stock

I don’t want to use Inventory items etc. I want it to be turned off but at the same time when i make a sales invoice the figure gets added to the sale and the tax goes to it’s designated account. but where is the stock getting decreased for sales and increased for purchases what steps should be taken to correct this.I should know the position of my stock after each sale or purchase. Please help.