A Product / Service has two components to it: The Item Code and the Item Name.
By default, the app sorts by Item Name. If your products are alphabetized by the code, then they will appear to be out of order in the app.
Here's how to fix it:
1. From your computer, login into the Web Dashboard.
2. Click on Settings.
3.Click on Inventory Settings.
4. Click on drop down menu under Item Sort Preference.
Change it from Product Name to Item Code and save it.
5. On the app, click on Refresh from Cloud.
Now your item list should appear in the alphabetical order that you expect.
If it does not, log out of the app, then log back in again.