2) The best way to take a physical inventory is by assigning each item a unique number. When shortages occur, if each item has its own unique sku number, you can identify exactly which item out of many similar items has disappeared. You can tell if it was the item that was received today, last week or last month. If all sku numbers for like items are the same, there is no way to determine which inventory item was lost or stolen.

3) If you need to make an insurance claim for losses many insurance companies require proof of purchase. Proof usually consists of a date received, invoice number and cost value of each loss claimed. When receiving merchandise Jewelry Shopkeeper prompts you for an invoice number, received date and cost value for each item received. The invoice number, date received and cost are attached to each unique sku number. When you identify an exact missing sku number then you can use the Display and Item Status feature (choice 2 - 6) to report the invoice number, date received and cost value of the missing item. If Jewelry Shopkeeper assigned the same sku number to like items, there would be many invoice numbers, receipt dates and costs associated with each item; determining exactly which item was lost becomes very difficult if not impossible.

4) To make good buying decisions you must have accurate turnover and markup rates. By assigning a unique sku number to each item, a specific date received and exact cost are preserved for accurate turnover and markup calculations. If the same sku number is assigned to like items, the cost value may change and costs must be averaged. If costs are averaged, the markup and turnover calculations lose accuracy. If a repeat item is received a month or two after the first one was received, which date received should be used; or should the dates received be averaged? Unique sku numbers eliminate these problems and provide precise reports. The Inventory report By Style number (choice 6, 5, B, B) is the best report for grouping like style numbers together to check a style number's markup and turnover performance.

When making a sale, skip over the sku number entry field by pressing enter twice. A manufacturer code and style number are prompted for. Jewelry Shopkeeper will take out of inventory the oldest item first with the same manufacturer code and style number; think of it as a first-in, first-out type of inventory system. The only drawback to this method is that you must know the manufacturer's code and style number which can sometimes be unnecessarily long and confusing.

When using the Assemble/Disassemble feature, while entering the component parts, you can type in manufacturer code and style number instead of an exact sku number to remove inventory components like findings out of inventory without identifying an exact sku number.

2) If you find remembering manufacturer codes and style numbers too cumbersome then assign an easy to remember permanent sku number for the style number using Enter Existing Inventory (feature 2, A). You can then use this sku number for that item every time you receive more of that item.

Each time you receive the same merchandise use the Adjust and Transfer Inventory feature and select the Add inventory choice (choices 2, 8, A). A sku number will be prompted for. Enter the permanent sku number, the quantity to be added to the previous total and the new cost per item. Jewelry Shopkeeper will average the cost of the new items with the old costs and add the new quantity to the quantity on hand. The Date Received will remain the original date, but you may change this date on this screen if you choose.

When you use this method of increasing the quantity for an existing sku number, no payable will be added to your accounts payable list so you must manually type in a payable using the Enter/Change Accounts Payable feature (5, 1, E). The payable amount must equal the total increase in the inventory value (quantity or weight times the cost) plus any freight.