For manufacturers
From raw material to dispatched invoice.
A manufacturing business has stock in three states at once — bought, in process, and finished — and an accounting system that only understands invoices will never tell you the truth about any of them. Sally keeps inventory movements and the ledger in the same book.
Where manufacturing books usually break
Stock movements that post
Stock journals record consumption and production as real inventory transactions, not a spreadsheet adjustment at month end.
Buy side under control
Purchase orders, goods receipt notes and purchase registers, so ordered, received and billed quantities can be reconciled.
Multiple godowns
Raw material, work in progress and finished goods can sit in separate godowns with their own stock positions.
Despatch with paperwork attached
Delivery challans carry transporter, vehicle and destination, and the e-way bill comes off the same record.
Closing stock that ties out
Stock valuation feeds the balance sheet, so your closing stock figure and your inventory report do not disagree.
Compliance without a second system
GSTR-1, 3B and 9, e-invoicing, e-way bills, TDS/TCS and RCM all run off the same ledger.
Questions
Can I record production and consumption?
Yes — stock journals move quantity between items and godowns and post as inventory transactions, so raw material consumed and finished goods produced both show in the stock records.
Does closing stock reach the balance sheet?
Yes. Stock is valued using your chosen method and the closing figure carries into the balance sheet, so the inventory report and the financial statements agree.
Can I reconcile what I ordered against what arrived?
Purchase orders track received quantity per line, and goods receipt notes record what actually came in, so partial deliveries are visible rather than assumed.
Is there a bill of materials?
Sally does not currently model a multi-level bill of materials. Production is recorded through stock journals. If your process depends on BOM explosion and routing, weigh that carefully before switching.