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Quantity on Hand: This is the quantity that you have in your physical possession that has not been sold. Once it is marked as "Sold", we assume you have packaged it and it's ready to ship, or that you have already shipped it, so we deduct the sold quantity from your Quantity on Hand.
Quantity Available (to List): This is the quantity that you are free to put up for sale at eBay or any other marketplace. In other words, it is not allocated to any listings yet. When you schedule, immediately launch, or copy code and chose to allocate, we deduct the allocated quantity from the Quantity Available to List -- that is, it becomes reserved for the aforementioned listing(s). Any quantities that failed to sell by the time the listing ends will be added back into your Quantity Available to List. (Note: If the Quantity Available to List is at zero, you must first add more inventory before you may list. You will be brought to the Inventory Action window so you may first replenish your inventory.)
Clicking on the Manage Inventory Categories button will open a window where you may rename or delete inventory categories that you had created when adding inventory.