A Kit is a group of items that isn't stocked but can be sold as an item on a sales transaction. For example, a computer system that is comprised of a computer, monitor, printer and software can be sold as a Kit even though the components are stocked only as individual items.
Quantities aren’t tracked for items you designate as Kits. However, current cost is associated with the items in the Kit, and the quantity sold is tracked when the items are issued at the time of sale. When you post a sales transaction that contains a Kit item, cost amounts are posted to the Cost of Goods Sold account specified—you can choose to use the Cost of Goods Sold account for each component item in the kit, or a separate Cost of Goods Sold account defined for the Kit itself.
To setup a Kit, go
* click image to enlarge
The Item Number must be setup as a Kit in Item Maintenance. Enter the Kit number in the Item Number field. For Cost of Goods Sold, indicate whether the COGS account(s) should come from the components or from the Kit itself.
If a Current or Standard Cost has been entered for the Kit in Item Maintenance, those costs will be reflected in the Current and/or Standard Cost fields.
Enter the Component Item Numbers that make up the Kit. Expanding the scrolling window lines exposes the Component Description and Standard Cost.
Save the Kit. Now the Kit can be entered on a sales transaction. When the sales transaction is posted, component inventory on-hand quantities are reduced, Inventory is credited and COGS is debited for the total value of the components in the Kit.