Inventory and Stock Reconciliation

Warehouse Configuration

In QuickBooks, warehouses might just be a dropdown. In ERPNext, they’re structured entities with parent-child relationships.

Go to Stock → Warehouse. Create your hierarchy:

• All Warehouses
  • New York Store
    • Back Room
    • Sales Floor
  • Los Angeles Warehouse

The Stock Entry

You cannot just type numbers into Item Master. Stock must enter ERPNext through a Stock Reconciliation.

Go to Stock → Stock Reconciliation → New → Download Template.

The template asks for Item Code, Warehouse, Quantity, and Valuation Rate.

Valuation Rate is critical. This is cost per unit. If you import this as zero, your P&L will show 100% profit on every sale, which is wrong. Get Average Cost from QuickBooks.

Upload and Verify

Upload your CSV. This creates initial stock ledger entries.

Validation

Go to Stock → Stock Balance Report. Does total value match your QuickBooks Inventory Asset account? If not, find the discrepancy before proceeding.