If you purchase raw materials which you turn into finished goods, manufacturing orders can be used to record this process.
Production order will take one or more input inventory items to produce single output inventory item. For example, manufacturing fruit juices will consume fruits, bottles, lids which are purchased from suppliers as inventory items. These inventory items should be first converted into finished product such as fruit juice bottles which is then sold to customer.
To record manufacturing order:
| 1. | Go to Production Orders tab. |
| 2. | Click New Production Order button. |
| 3. | Enter date and description. |
| 4. | Enter how much quantity is being produced and which inventory item is being produced. |
| 5. | Enter how much quantity is being used and which inventory item is being used. If there are more inventory items, use New line button to add more line items. |
| 6. | Click Create button to save the transaction. |
When you go to Inventory Items tab, you will see your manufactured inventory item has been increased in quantity while input items have been decreased in quantity based on the manufacturing order.
