Enable inventory tracking. Now that the company is using inventory, the workflow will be as follows: the

item is purchased and recorded in the inventory account. When a sale is made, the item is removed from

inventory and charged to cost of goods sold.

Create the following products using the following setup:

a Sales Account: Sales

b Inventory Account: Inventory Asset

c Cost Account: Cost of Goods Sold

d Create the following items:

Name: Turf Edger

Sales Description: Turf

Edger Sales Price:                         $

Tax: Taxable when sold

Purchase Price:                              

Tax: Not taxable when purchased for resale items purchased for resale are not

taxable for most jurisdictions

Reorder Point:                                

Initial Quantity on Hand:              

Name: Gas Hedge Trimmer

Sales Description: Gas Hedge Trimmer

Sales Price:                                    $

Tax: Taxable when sold

Purchase Price:                            $

Tax: Not taxable when purchased for resale

Reorder Point:                               

Initial Quantity on Hand:             

Name: Hand Garden Trowel

Sales Description: Hand Garden Trowel

Sales Price:                                    $

Tax: Taxable when

sold

Purchase Price:                              $

                             

Tax: Not taxable when purchased for resale

Reorder Point:                                

Initial Quantity on Hand:              

Name: Pruner Lopper

Sales Description: Pruner Lopper

Sales Price:                                    $

Tax: Taxable when sold

Purchase Price:                             $

Tax: Not taxable when purchased for resale

Reorder Point:                               

Initial Quantity on Hand :

Name: Evergreen Fertilizer

Sales Description: KG Evergreen Fertilizer

Sales Price:                                  $

Tax: Taxable when sold

Purchase Price:                          $

Tax: Not taxable when purchased for resale

Reorder Point:

Initial Quantity on Hand:           

Create a Purchase order for Johnson Supplies for the st of this month. Order the

following supplies NOTE: You may have to enable Purchase Orders prior to this

exercise:

Turf Edger:

Evergreen Fertilizer: Bags

Create a Purchase Order for a new

supplier: Hanson Garden Supplies

Speers Road

Oakville, ON LL X

Order the following items:

Pruner Lopper

Hand Garden Trowel

Gas Hedge Trimmer

Jon wants to see whats on purchase orders as of today. Create and print the Open

Purchase Order report

Receive against the PO for Johnson Supplies. Receive it in full on the th of this

month. Use the bill form to receive the purchase order.

Receive against the PO for Hanson Garden Supplies. You received all the Pruner

Loppers and Hand Garden Trowels. When comparing the invoice to the packing

slip, you see that you only received of the Gas Hedge Trimmers.

Pay the bills for Johnson Supplies and Hanson Garden Supplies in full on the

last day of this month.

Alice notices customers are buying several garden tools at one time. She has the idea

to bundle several tools together as a Garden Tool Starter Kit. Create the Garden Tool

Starter Kit with the following items and quantities:

a Hand Garden Trowel

b Pruner Lopper

c Turf Edger

Sales Description: Garden Tool Starter Kit. The sales price of the kit will be the sum of all of the individual sales

prices less

Create an invoice for Kelly Buss on the th of this month. Sell one Garden Tool Starter Kit.

Receive the payment from Kelly Buss on the th of this month and deposit the

amount directly to the TCU chequing account. She paid with cheque #

There was a heavy rainstorm at the Green Tree Landscape yard and the roof on the

inventory shed was leaking. As a result, Gas Hedge Trimmers were damaged. They

cannot be sold and will need to be disposed of Jane has asked you to write off the

inventory as of the last day of this month. Make the inventory adjustment to account

for the damaged goods. Jane asked you to use an Inventory WriteOff expense

account Tip: you may have to use the Chart of Accounts to create a new account

Alice and Jon want to know the value of the inventory. Create and print the Inventory

Valuation Detail report for them.

Alice wants to count the inventory each month. Shed like a list of inventory parts as

of today. Print the appropriate report for her.

After two busy months of business, Jon and Alice need to review their business