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<meta name="MS-HAID" content="Getting started">
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<title>Getting Started: Conducting a Physical Inventory</title>
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<p class="Help-Heading-1" style="background-color: #008000;">Getting Started: Conducting a Physical Inventory</p>
<p class="Help-Text"><a href="../qbpos_physical_inventory/pioverview.htm">Physical Inventory Overview</a></p>
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<p style="text-align: right; font-family: Arial, sans-serif; font-size: 9pt;
color: #800000;"><span style="font-size: 10pt;">Basic</span> </p>
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<p class="Help-Text">A physical inventory (PI) is an actual count of the merchandise in stock. The Physical Inventory utility is the quickest way to update on-hand quantities for a large number of items in inventory.</p>
<p class="Help-Text">A physical inventory is always recommended as part of the startup procedure and periodically thereafter to verify and adjust inventory counts.</p>
<p class="Help-Text">A physical inventory involves:</p>
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<li class="p-Help-Bulleted" style="margin-left: -20px;">
<p class="Help-Bulleted">Recording physical counts for every individual item in the store</p>
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<li class="p-Help-Bulleted" style="margin-left: -20px;">
<p class="Help-Bulleted">Entering these physical counts into Point of Sale so the program can compare the counted quantities to the currently recorded quantities on hand in inventory</p>
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<p class="Help-Bulleted">Reviewing any discrepancies found</p>
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<p class="Help-Bulleted">Updating your inventory on-hand quantities to reflect your physical inventory counts</p>
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<p class="Help-Bulleted">The automatic creation of adjustment memos by Point of Sale to track the quantity changes and update your inventory value in QuickBooks Desktop financial software</p>
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<p class="Help-Text">For more information about conducting a physical inventory, click the <span style="font-weight: bold;">Physical Inventory Overview</span> link at the top of this page.</p>
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