Inventory Adjustments

The inventory adjustment transaction changes the quantity and value of an inventory item without entering a purchase order.

To perform inventory adjustment :

1. Transactions > Inventory > Adjust Inventory.
2. Enter the subsidiary, Ref. No., adjustment account. Note: The adjustment account will be an expense account.
3. Now, under the Adjustments subtab, select item to be adjusted.
4. Select, location where to adjust inventory.
5. Set the “Adjust Qty By” to required quantity. Thus the new quantity will be the sum of “Adjust Qty By” and “Qty on hand“ units.
6. Once the adjustment details are entered, click on “Save” to create the adjustment transaction record.
7. The Adjustment record is created successfully, let’s go back to the item record and verify its “Qty on hand“ units.