Manufacturing Process vs. Merchandising Process

In many ways, the activities of manufacturing  organizations are similar to those of merchandising business. Both are concerned with purchasing, storing and selling goods; both must have efficient management and adequate source of capital;  both may employ hundreds or thousands of workers.

The distinction between two: Merchandisers buy items in marketable form to be resold to their customers; manufacturers, must make the goods they sell

One Response to Manufacturing Process vs. Merchandising Process

  • Andrey says:

    As far running QuickBooks for both merchandise and manufacturing both requires to maintain inventory in the similar way. Both industry types can use advance inventory but there is some difference. Manufacturing industry is more focused on inventory assembles, therefore there are two different types of reports in Quickbooks for both industry types:

    For Merchandise or Retail
    Profit and loss Monthly Comparison
    Balance Sheet Monthly Comparison
    Gross Margin By Inventory Item
    Sale Graph
    Customer Payments by Payment Item
    Estimates by Customer
    Monthly Sales by Customer
    Accounts Payable Graph
    Bills Due by Date
    Purchase Volume by Vendor
    Vendor Returns Summary
    Vendor Returns Detail
    Open Purchase Order by Vendor

    For Manufacturing
    Sales Report Detail
    Sales by Product
    Sale by Customer Type
    Sales Volume by Customer
    Sales by Class and Item Type
    Profitability by Product
    Open Sales Orders by Item
    Open Purchase Orders by Item
    Open Sales Orders by Customers
    Inventory Reorder Report by Vendor
    Physical Inventory Worksheet

Leave a Reply

February 2018
« May