Go To: System Settings - Settings - Drop Down List
Select Category
Select the dropdown category you would like to manage from the dropdown list. Selecting Active Only will show only active records with that field assignment. Once selected, the dropdown option will appear below.
Customize Dropdown
Select either all records, Active Only, or Customized. Choosing customized allows you tp pre-set the dropdown values.
Submit Changes
Submit changes, and select another field to edit (Step 1) to add more dropdown menu options.
Use customized drop down lists if you do not want users to add items to auto-generated dropdown lists. Adjust User Permissions to not allow users to add values to the dropdown lists if you are using this function.