Setting Up a Consignment Item

Consignments need to be set up as inventoriable items. To define that an item is a consignment, type the letter C in the Type (G, C, F, D) field on the Inventory Maintenance screen.

To establish a stocking level for a consignment item, create a receiving document for the vendor who supplies the item and define the quantity you have to sell. Then receive the item but do not price it.

Establishing the stocking level in this manner ensures that the item’s available quantity is shown on the Inventory List. Because the item is unpriced, it will not post to the general ledger or affect the sales reports. The receiving document for establishing a consignment item’s stocking level will never be priced. If the vendor discontinues the item, you need to reverse the receiving document.

Warning: Do not use the Quantity Adjustment Wizard to manage quantities for consignment items.