This help article In this article, we will review how to sell inventory.
There is a common confusion between Inventory and Products. Inventory is used when you have a physical piece available for sale. My Products refers to a type of catalog of products that you can keep in Studio Designer to hold the details about products that you frequently sell and then use those details to quickly create an item to sell to your clients.
How to Sell Inventory
To sell an inventory item, create a new item from within the Item list.
- Select the Sell Inventory Link. The Vendor will automatically become Inventory.
- Select the Inventory ID of the inventory you want to sell.
- Complete the Room, Item #, Component and any other descriptive fields you wish.
- Scroll down to the Amounts section. The selling cost is automatically filled in from the selling cost on the inventory item.
Mark Up % defaults from the client's address record. You can manually remove or edit this percent (as shown in the blue box below). 
The purchase cost for this item is not available with-in this screen.
It defaults from the inventory item and will be posted to the cost of sales accounts based on the sales code defined in the inventory item.
Note: The purchase value is based on the average cost of the inventory available at the time the sale item is created and cannot be manually edited.
Optionally create a proposal for the item.
This will commit the item to the client.
The quantity committed will increase.
Create an invoice for the item to sell the item to the client.
The quantity sold will increase and accounting transactions will be posted.
Sell Consignment Inventory
Before you can sell consignment Inventory you must first 'unconsign' it.
If you attempt to invoice a consignment item prior to this you will receive two alert messages:
Select Projects > Inventory and all Inventory items will be visible.
Locate the applicable Inventory item and select edit.
Then select Remove Consignment, then click OK
Studio Designer uses an Average Cost accounting method. It takes the entire cost of inventory on hand at the time of a sale and divides it by the quantity on hand to determine the cost to be associated with the sale of the item.
Order Inventory
Debit: No entry
Credit: No entry
Order Consignment Inventory
Debit: No entry
Credit: No entry
Enter Vendor Invoice (non-consignment)
Debit: Inventory
Credit: Accounts Payable
Credit: Vendor Deposit (If a deposit was paid prior to the vendor invoice entry)
Enter Vendor Invoice (consignment)
Debit: No entry
Credit: No entry
Pay Deposit to Vendor (prior to entering a vendor invoice)
Debit: Vendor Deposits
Credit: Cash
Pay Deposit to Vendor (after entering a vendor invoice)
Debit: Accounts Payable
Credit: Cash
Unconsign Inventory
Debit: Inventory
Credit: Accounts Payable
Invoice Inventory to Client
Debit: Cost of Sales (defined by sales code in My Inventory)
Credit: Inventory
Debit: Accounts Receivable
Credit: Income (defined by sales code in My Inventory)