> For the complete documentation index, see [llms.txt](https://kb.bravegen.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://kb.bravegen.com/carbon/core-concepts/inventory-items/spend-based-inventory.md).

# Spend Based Inventory

How BraveGen handles spend based activity and inventory items

Spend-based Inventory Items support spend-based Scope 3 methods, most commonly **Purchased Goods & Services**.

Unlike standard Inventory Items, they are created directly from reviewed spend activity. They are not created from an [Inventory Item Template](/carbon/core-concepts/inventory-items/inventory-templates.md).

### How spend-based items differ

|                 | Standard Inventory Item                                    | Spend-based Inventory Item                        |
| --------------- | ---------------------------------------------------------- | ------------------------------------------------- |
| Created from    | A rule referencing an Inventory Item Template              | The **default spend** rule set during Task Review |
| Governed by     | Its template, which keeps most fields in sync              | Nothing. It has no template                       |
| Editable fields | **Reporting Name**, **Tags**, and **Effective Dates** only | All fields directly on the item                   |

### How creation works

Spend-based items are created when the **default spend** rule is applied during [**Task Review**](/carbon/core-concepts/data-collection/tasks/task-reviews.md).

That rule creates the Inventory Item directly from transaction and supplier data, and applies a recommended [Emission Factor](/carbon/core-concepts/emission-factors.md).

Because no template is involved, each spend-based item is a standalone record. Editing one item does not change any other item.

{% hint style="info" %}
This keeps setup manageable. Spend activity often spans many suppliers, and creating a separate template for each one would add unnecessary overhead in **Settings**.
{% endhint %}

### Editing a spend-based item

Spend-based items can be edited directly across all fields.

#### General Details

<table><thead><tr><th width="183.59375">Field</th><th>Description</th></tr></thead><tbody><tr><td>Name</td><td>The item name shown at the top of the detail view.</td></tr><tr><td>Data Source</td><td>The Activity Source the item came from, including the spend currency. For example, <code>Widget Consultants Ltd (NZD)</code>.</td></tr><tr><td>Goods or Service</td><td>The procurement classification carried from the source transaction data.</td></tr><tr><td>Identifier</td><td>The code recorded against the transaction. Together with <strong>Goods or Service</strong>, this helps the default spend rule route the transaction to the correct emission factor group.</td></tr><tr><td>Supplier</td><td>The supplier linked to the spend activity.</td></tr><tr><td>SBTi Targets</td><td>Read-only supplier status for Science Based Targets initiative commitments. For example, <code>Committed</code>.</td></tr><tr><td>Effective Dates</td><td>The reporting date range for the item. Activity outside this range is excluded from reporting.</td></tr><tr><td>Tags</td><td>Optional labels used to group items for review or reporting.</td></tr></tbody></table>

#### Reporting Details

| Field                                                                                      | Description                                                                                                                                                                                                                                |
| ------------------------------------------------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ |
| Reporting Name                                                                             | Groups this item with others that share the same name and dimensions in reports. For example, `Purchased Goods & Services`.                                                                                                                |
| [Emission Factor Group](/carbon/core-concepts/emission-factors/emission-factor-groups.md)  | The emission factor applied to the spend amount. Leave this blank if the item should not calculate emissions.                                                                                                                              |
| Reporting Inclusion                                                                        | Controls whether the item contributes to **All**, **Market Based**, or **Location Based** totals. See [Market & Location Based Inventory](/carbon/configuration/reporting-frameworks/ghg-protocol/market-and-location-based-reporting.md). |
| [GHG Protocol](/carbon/configuration/reporting-frameworks/ghg-protocol.md)                 | Enable and map the item to a GHG Protocol scope and category. For example, `Scope 3.1 Purchased Goods & Services`.                                                                                                                         |
| [ISO14064:2018](/carbon/configuration/reporting-frameworks/iso14064-2018.md)               | Enable and map the item to an ISO 14064:2018 category. This appears only when that framework is enabled for your organisation.                                                                                                             |
| [NGERS Source](/carbon/configuration/reporting-frameworks/ngers.md)                        | Enable and map the item to an NGERS source where relevant. This appears only when that framework is enabled for your organisation.                                                                                                         |
| [PCAF Asset Class](/carbon/configuration/reporting-frameworks/pcaf.md)                     | Map the item to a PCAF asset class where relevant. This appears only when that framework is enabled for your organisation.                                                                                                                 |
| [Custom Framework fields](/carbon/configuration/reporting-frameworks/custom-frameworks.md) | Apply categories from your organisation's custom frameworks configured in **Carbon Settings** → **Frameworks**.                                                                                                                            |
| Standardise Currency                                                                       | Convert the item's spend into your organisation's standard reporting currency. This is the spend-based equivalent of **Standardised Units** on a physical-activity item.                                                                   |

The **Calculation** tab shows any calculation steps applied to the spend amount.

The **Log** tab shows the item's change history.