I purchase items, add a margin and sell them. I’ve been using Manager for about a year to keep track of my inventory and sales. I enter purchased items into ‘Inventory Items’ when they are delivered and create ‘Sales Invoices’ for what I sell. The numbers of Inventory Items reduces correctly when I create the Sales Invoices, but for some time now I wondered that the ‘Income’ on the Summary page doesn’t seem correspond with correctly with the amounts in the ‘Cash Accounts’. So today I clicked on the ‘Inventory - sales’ number under Income
You didn’t complete your post, however if you have your setup as Cash Basis, then the Income on the Summary page will be understated as it only appears as income when the invoice is paid.
You can go to the Summary tab - Set Period to check. Switch to Accrual Basis to see all invoices as income.
You can toggle between cash & accrual without causing any harm as its only a reporting change not a data change.
My appology, I didn’t want to post this yet. Let me start again:
I purchase items, add a margin and sell them. I’ve been using Manager for about a year to keep track of my inventory and sales. I enter purchased items into ‘Inventory Items’ when they are delivered and create ‘Sales Invoices’ for what I sell. The numbers of Inventory Items reduces correctly when I create the Sales Invoices, but for some time now I wondered that the ‘Income’ on the Summary page doesn’t seem to correspond correctly with the amounts in the ‘Cash Accounts’. So today I clicked on the ‘Inventory - sales’ number under ‘Income’ to see the attached screenshot. As you can see, it lists each item on every Sales Invoice, but the strange thing is that on some invoices (eg the one from 23.03.2017) it lists full numbers for the items sold - as it should because there are only full numbers of quantities in the inventory and in the sales invoices, but on others (eg 19.03.2017 and 25.03.2017) it lists fractions of Quantity. How is that possible? I don’t sell parts of items. I see that the GST is deducted from the sales price and that’s ok, but where it uses fractions of items that is then also reflected in the ‘Credit’ and ‘Balance’ amounts and obviously incorrect. I compared invoices that have the error with ones that don’t and I can’t find a difference, a box I ticked or didn’t or whatever. Even where I sold the same product on different invoices, on one it is correct (Qty = 1) and on another (Qty = 0.4103) it’s obviously wrong.
As I said, the numbers in the Inventory reduce correctly (no fractions) and the amounts in the Cash Accounts are correct too because the money in the till is what it says it should be
Any help to solve this issue would much appreciated.
Ok so the horse bolted down the wrong path, sorry.
Can you post the two screenshots of this situation “Even where I sold the same product on different invoices, on one it is correct (Qty = 1) and on another (Qty = 0.4103)”
Also can you post a screenshot from the Inventory Item tab of the same Inventory Item after clicking on the blue value balance (not qty)
It does seem strange that the inventory is decreasing by 1 but the invoice is showing a fraction
Thanks for the quick reply, Brucanna!
When doing the screenshots, I just figured out what it’s doing, but have no idea why. In the ‘Inventory - sales’ where it shows fractions it actually splits each items and makes 2 entries for each, adding to the Qty in the invoice (eg 0.8974 + 0.1026 = 1) and the overall total amount corresponds correctly with the total of the invoice. Musta been hoping for better income figures
Now the only question is why does it do that?
I’ll let @Brucanna help you with your specific questions. But in case you didn’t know, you don’t need to enter sales invoices and separate receipts allocated to Accounts receivable for cash sales. Just use a
Receive money transactions in the
Cash Accounts tab. You can enter the inventory line items directly there.
I suspect your problem may originate because you have many sales invoices to the same customer, Cash Sales, on the same date. So Manager tries to allocate to the oldest open sales invoice first. The result could be that money you are receiving from one customer ends up automatically going to another. It all sorts out in the end when everything is paid, but it is poor accounting practice. Sales invoices are for sales on credit.
No idea, however are you using Cash Basis ?
Why I ask this is because your Inv 49 has a date of 22nd, the inventory has a date of 22nd yet your first screenshot has no 22nd sales listed and your 1st Damiana has the transaction dated as the 23rd.
But getting back to your situation try this with Inv 51.
Create a new customer - Cash Sales 2
Edit Inv 51 and change the customer to Cash Sales 2.
That Inv should now show as unpaid.
Create a Receive Money to pay just that Inv.
Now check the accounts to see what occurs.
Thanks Tut and Brucanna for your help! I think Tut is on to it. I’m not an accountant or even a bookkeeper and I thought that I had to do a ‘Sales Invoice’ in order to reduce the Inventory by the number of items sold. I was not aware that ‘Receive money’ would also create the equivalent of a Sales Invoice where the items are listed individually - thought it would just be one amount of money for the total.
I’ve deleted the Payment and the Sales Invoice for the 26.03.2017 and entered the sales in the Receive money form. Using the same date means that all the sales from that day are on the same form just like the Sales Invoice. AND it even lists the Description of each item unlike when I created a Sales Invoice! It adds the amounts in the Summary and deducts the numbers in the Inventory perfectly and even saves the paying the Sales invoice routine! And definitely solved the problem with splitting the items in ‘Inventory - sales’.
One learns something new every day! Thanks guys!
It sounds like you would benefit from reading the Guides.