When the owner purchases inventory with their own funds there are two ways to handle it.

1. Bring up inventory adjust, set the adjusting account to owner-investment (you will get a warning from QB that this is not usually done, click through it) and mark the adjustment as a value adjustment.

* Enter the new qty in the new qty column (old qty + new qty)
* Enter the value of the items purchased in the new value column (old value + new purchase)

That adjustment increase the items on hand, creates a new average cost for the items, and increases the owner investment in the business.

2. Create a fake checking account called something like “Clearing CK Acct”

* Create a bill for the items, then write a check (in the Clearing CK Acct) for the items paying the bill, the balance will be negative in the checking account.
* In the same checking account create a deposit for the same amount and select as the account Owner-investment.
* Use the memo field to explain what the transactions are for.