How purchase cost works for itemized inventory

In this guide: Understand how receiving itemized stock can change the product cost used for reporting and profit calculations.

Enter the correct cost

On each itemized purchase line, enter the cost for one unit. RepairNest POS adds the received quantity to the location's stock and applies the cost behavior configured in Settings > Inventory.

Average-cost example

If you already have 10 units at a $5 average cost and receive 10 more at $7 each, the combined average cost becomes $6 per unit:

(10 × $5 + 10 × $7) ÷ 20 = $6

Why it matters

• The selling price does not automatically become the purchase cost.
• Cost affects profit, margin, inventory valuation, and related reports.
• Historical purchases retain their own line costs even when the product's current average cost changes.

Tip

Review your Inventory cost-management setting before receiving stock if your organization uses a method other than average cost.