How can users track inventory in QuickBooks?

Enabling inventory tracking in the Product and Services section is the correct approach for users to effectively manage their inventory in QuickBooks. When this feature is activated, it allows users to monitor stock levels, manage item costs, and automatically update inventory quantities as items are sold or received through purchases. This real-time tracking ensures that users have accurate information about their inventory, which is essential for making informed business decisions.

While creating purchase orders is a useful function to order inventory, it does not inherently track inventory levels unless inventory tracking is enabled. Manually entering each transaction could lead to errors and does not provide the automation or accuracy that inventory tracking offers. The Accounts Payable section is primarily for managing bills and payments to vendors and does not specifically handle inventory management. Therefore, enabling inventory tracking within the Product and Services section is the most effective and efficient method for keeping accurate records of inventory in QuickBooks.