Ive recently figured out in X-Cart 4.0 you can use product variants to do this. Just make your original product like:
T-Shirt
Then in T-Shirt variants make:
T-Shirt/Green/Small
T-Shirt/Green/Medium
T-Shirt/Green/Large
etc
and xcart will automatically create seperate SKUs for the products and track inventory appropriately. hope that helps!
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