Question:
How to track charitable donations?
Answer:
The easiest thing to do is to use a Goods Issue, and then change the Offset GL Account to the In-Kind Donation account you want to hit. In the Chart of Accounts, you will need to highlight the in-kind donation account as flag it as a "sales account". This allows the system to hit the account on an invoice, which usually hits a revenue account. The system will reduce inventory and offset it to the GL Account you choose.
If you need to do an Invoice, so that you have a financial record or what to print it, etc. you can do that too. On the Invoice, use Form Settings to make the GL Account field visible. Then you can change it from the normal revenue account to the In-Kind Donation Account right on the row of the invoice. Remember to set the price to $0.
Using either the Goods Issue or the A/R Invoice works and will result in the same JE and impact on inventory. Goods Issue is faster, but Invoice allows you to have a document and is printable. In addition, if you create an Business Partner and Invoice for your donation, this allows you to run reports and track exactly how much you've donated over a span of time.