I have an Enterprise site (1.12.0.2) and a Community site (1.7.0) both doing the same thing.

A configurable product (Manage Stock set to Yes) has just one simple product. Somebody orders the last remaining stock item pushing the simple product's Stock Availability Status into "Out of Stock". However the configurable parent's Stock Availability Status remains "In Stock". Should the parent not go "Out of Stock" when all it's children have gone "Out of Stock". I can see no setting for this in Sys - Config.

I've tried reindexing Stock Status. No joy.

Would somebody please give me the definitive answer? If the answer is No it never has then is there a quick and easy solution?

I'm trying to get an answer from Magento at the moment (via Enterprise ticket). Not heard back yet.

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Here is the solution:

When we create a configurable product, the status of Manage Stock option will be "Yes",  so the parent (configurable product) Stock Availability Status remains untouched regardless of what happens to any of it's children (simple product)

If we change the status of Manage Stock option to "No" manually, it's status will base on the Stock Availability Status of it's children (simple product)

Thus, If we manually set/change the status of Manage Stock option to "No" for all the configurable product, it will work as what you want to see.