When you initially receive the consignment item, you can use an Item Receipt
to record the transaction:
Go to the Vendors menu and click Receive Items.
In the Receive Items window, enter the consignment vendor in the Vendor field.
If necessary, set up the Vendor's complete information in the Vendor list.
Fill in the date, the total amount to be paid to the vendor, and the
Click on the Items tab and enter the name of the consignment item and the
In the Memo field, enter a description of the item.
Save the item receipt.
This will record the receipt of the item, and will increase the balance of
your consignment inventory account.
Make sure you label the item with the vendor name and the sales price so
you'll know which vendor to pay when you sell the item.