Journal Entries

The Journal Entries section gives you a double-entry accounting log of every financial event in Iraca — automatically generated as you receive inventory, run production, fulfill orders, and complete POS sales. No manual entry required.

Plans: Iraca records journal entries on every plan, but viewing them is part of Books & Financial Reports (Standard and above). After you leave Standard you keep read-only access through your last paid day. See Books & Financial Reports.

What is a journal entry?

Every financial event generates a journal entry with two sides that always balance: a debit (value flowing in to an account) and a credit (value flowing out). The total debits always equal the total credits for each entry.

What events create entries

Event	Accounts affected
Stock received on a purchase order	Debit the product's inventory account / Credit Goods Received Not Invoiced
Stock received manually (no purchase order)	Debit the product's inventory account / Credit Owner's Equity
Stock found when correcting a count	Debit the product's inventory account / Credit Inventory Adjustments
Stock written off (adjustment down, spoilage)	Debit Inventory Adjustments / Credit the product's inventory account
Stock consumed (Use Supplies, or "Consume" in the stock dialog)	Debit COGS / Credit Inventory Asset
Production started (or ingredients issued at completion)	Debit WIP / Credit the account each ingredient lives in
Labour & overhead on a completed run	Debit WIP / Credit Operating Expenses
Production completed	Debit Finished Goods / Credit WIP (the run's whole balance)
Production run cancelled	Debit the ingredients' account / Credit WIP
Manual order fulfilled	Debit COGS + Accounts Receivable / Credit Finished Goods or Inventory Asset + Revenue (+ Shipping & Delivery Income for a delivery fee, + Sales Tax Payable for tax)
Marketplace order fulfilled	Debit COGS + Marketplace Clearing / Credit Finished Goods or Inventory Asset + Revenue (+ Shipping & Delivery Income for shipping your own store charged)
Marketplace payout recorded	Debit Cash (what reached the bank) + Operating Expense (the platform's fees) + Revenue (what it refunded) / Credit Marketplace Clearing
Customer payment recorded (manual orders)	Debit Cash / Credit Accounts Receivable (relieves the receivable)
POS sale completed	Debit Cash + COGS / Credit Revenue + Inventory Asset
Vendor bill approved	Debit Operating Expense (or Inventory) / Credit Accounts Payable
Vendor bill paid	Debit Accounts Payable / Credit Cash

Account types

• Inventory Asset — raw ingredients and supplies on hand
• WIP (Work in Progress) — cost tied up in runs that are under way. A run puts its ingredients in when it starts and takes everything back out when it finishes or is cancelled, so this account holds only what is genuinely in flight and reads zero when nothing is. If your recipe sets a labour or overhead cost per unit, completing the run moves that out of Operating Expenses and into the goods, where it stays until the sale takes it back out through Cost of Goods Sold.
• Finished Goods — completed products ready to sell

Which of the two inventory accounts a product uses follows its product type: a Finished good lives in Finished Goods; a Raw ingredient, a Supply or a Both (an intermediate you make and then use) lives in Inventory Asset. Every entry follows that one rule, and a sale credits the account of whatever actually left the shelf: a kit credits its components' accounts, and an order filled from ingredients credits the ingredients, not the finished product. If a product changes type after it has stock, future entries move to the new account while the balance stays where it was booked, so a manual journal entry is the way to move it.

• COGS — cost of goods when a sale is made
• Revenue — sale price collected
• Shipping & Delivery Income — delivery and freight fees charged on orders
• Accounts Payable — what you owe suppliers
• Accounts Receivable — what customers owe you on manual invoices you collect directly
• Marketplace Clearing — revenue from marketplace/WooCommerce orders awaiting the marketplace payout. Each channel's balance is what that platform still owes you; recording its payout (Reports → Marketplace payouts) clears it, books the fees it kept as an expense and the refunds it gave as reduced revenue, and puts the cash in the books
• Cash — funds received from POS sales
• Inventory Adjustments — stock lost or found when you correct a count. Spoilage, breakage and shrinkage are debits; overages are credits, so the balance is your net variance for the period
• Equity Adjustment — opening balances and stock you put in yourself, with no external counterparty

Using the journal

Filter by type — narrow to a specific event category (stock movement, production run, order, POS session, manual entry).

Filter by account — show only entries that touch a particular account type (e.g., only COGS entries).

Expand a row — click any row to see the individual debit and credit lines with their exact amounts.

Pagination — when there are more entries than fit on one page, use the First / Previous / Next / Last buttons at the bottom, or type a page number in Go to and press Enter to jump directly there.

Export CSV — download all visible entries (respecting the current date range and filters) as a spreadsheet. Each line in the export is one journal line, making it easy to import into QuickBooks, Wave, or any accounting software.

Cost basis (AVCO)

Iraca uses Average Weighted Cost (AVCO): the unit cost on each stock movement reflects the product's unit_cost at the time the movement was recorded. This is the same cost used in the COGS report and production efficiency calculations. FIFO cost layering is planned for a future release.

Creating manual entries

Click New Entry above the journal table to open the entry form. Fill in the date, a description, and at least two lines. Each line needs an account type, a label (a short note on what the line represents), and either a debit or a credit amount.

The form shows a live Balanced / Off by $X indicator. You cannot save until debits equal credits.

Common reasons to create a manual entry:

• Opening balances — record the starting value of inventory or cash when you first set up Iraca
• Corrections — reclassify a cost that was posted to the wrong account
• Write-offs — record a loss not tied to a specific stock movement
• Adjustments — record depreciation, prepayments, or other non-inventory events

Manual entries respect period locks — you cannot post to a closed period.

Voiding an entry

Only entries you posted yourself (shown as Manual Entry) can be voided here. An entry posted by an order, invoice, bill, payment or production run belongs to that document: void or correct the document itself (for example, void the invoice or issue a credit memo), or post a manual adjusting entry. Voiding the document's entry on its own would take it off the books while the document still said it happened.

To void a manual entry, expand the row and click Void, or click Void directly on the row. Confirm the prompt. The entry is marked Voided and shown with a strikethrough. It is excluded from the trial balance.

You cannot void an entry in a locked period. Unlock the period first, void the entry, then re-lock if needed.

Voiding does not create a reversing entry — it simply marks the original entry as cancelled.

Missing entries

An entry is only created when a unit cost is available on the product at the time of the event. If a product has no unit cost set, journal entries for that product will be skipped (the inventory/order operation still completes normally). Set unit costs under Inventory → Products to ensure full coverage.