What should be selected to indicate that you want to track an inventory item?

Prepare for your Xero Certification Test with a comprehensive study guide. Utilize flashcards and multiple-choice questions, each provided with hints and detailed explanations to enhance your understanding and readiness for the exam.

To track an inventory item in Xero, the option to select is 'I track this item'. This choice specifically indicates that the item will be monitored within the inventory management system, allowing for accurate tracking of stock levels, sales, and purchasing details. Choosing this option ensures that the item is included in reports related to inventory and that it will be accounted for in the accounting processes for both sales and resupply.

Meanwhile, marking an item as active, indicating visibility settings for users, or choosing 'for internal use only' does not specifically relate to tracking inventory. These options cater to other aspects of item management in Xero, such as user permissions or management status, but they do not ensure the item gains the necessary tracking features required for effective inventory management.

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