Inventory Worksheets enable us to enter changes to the quantity or value of inventory items other than lot-numbered items, serial-numbered items, or inactive items. We can enter adjustments for up to 1,000 line items at a time.
Please take note of the following important considerations:
- If our inventory accounting (Cost) method uses LIFO (Last In, First Out) or FIFO (First In, First Out) costing, any item adjustments made through the inventory workbook will cause the cost of the adjusted items to be averaged. The LIFO or FIFO costing will be disregarded, and the costing history for those items will be lost. If you wish to preserve LIFO or FIFO costing, we recommend using the “Transactions > Adjust Inventory” option for any inventory adjustments.
- On the other hand, if our inventory accounting method uses the average costing method, we can make any necessary changes on this worksheet without affecting the costing history. The average costing method allows more flexibility in adjusting inventory quantities.