Non Stock Item (NSI)

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A non-stock item is a product that is purchased or sold but whose quantity is not tracked.

Use Non Stock Items if you want to use the same item code over and over for different stock items. By selecting the Non Stock Item checkbox you will ensure that the program asks you for the cost price of the item when you sell it. This is true for invoices, job cards and quotes.

 

Different methods of selling Non Stock.

1. You sell the item via the Quote or Job Card Module.

This is probably the best way to do it as you can record the cost price immediately while you are doing the quotation or the job card.

The Cost Price column will be enabled for NSI items so that you can type in the cost price. In the image below you can't change the cost price of an item except if it is an NSI item.

 

graphic

 

The Goods Received entries will be as follows:


Debit

Credit

Cost of Sales

x.xx

 

Supplier Control

 

x.xx

 

When you sell the item the entries will be as follows:


Debit

Credit

Customer Control

x.xx


Sales


x.xx

Cost of Sales

x.xx


Cost of Sales


x.xx

(Thus Cost of sale is 0 as it cancels each other. Cost is coming from the GRN)

 

2. You sell it via the POS module.

When you add a NSI to the invoice the program will open a dialog box and ask for the cost price. The program will automatically fill in the average cost price. If you have more than one NSI on hand the average cost will be wrong and the onus is on you to supply the correct cost. If you are in the habit of buying a NSI and immediately booking it out you won't have this problem.

                                   

Please take note that the cost of sales is recorded immediately. Thus if you do the invoice in the next month, your gross profit in the previous month will be lower as the cost of sales was recorded in the previous month. In the current month it will be higher. Your stock turnover report can thus differ from your income statements turnover, as the costs were booked out in two different month's.

It is recommended that you do the goods received note and the invoice in the same month.

 

The 'Cost Price' you filled in on the quotation, job card or Invoice will only effect your Stock Turnover Report. Example: Turnover $100, Cost Price $20, thus profit is $80

Customer Query & Answer

How to complete a GRN when purchasing items to sell as well as items for internal use being on the same GRN (suppliers invoice).

 

Step 1: Go to Inventory > Stock Groups and add a stock group with name of , for example Internal Use and change the 'Cost account' to for e.g. Workshop Usage. You must add the Workshop Usage account under the General Ledger.

Step 2: Add a stock item with name Internal Usage and link it to the stock group that you have created under Stock Groups and mark it as a Non Stock Item (on the stock main form on the additional info tab).

 

See also Change NSI on a Job Card