Overview

Inventory adjustments are required to:

• Correct inventory quantities, if the quantity in the Inventory Manager is different than the quantity on hand determine by a physical count.  This type of difference can occur due to data entry mistakes when purchasing or selling inventory items or due to shrinkage.
• Correct inventory cost price, if the cost price in the Inventory Manager is different than the current cost price.  This type of difference can occur due to data entry errors or due to a change in the market price for an item.

Inventory adjustments have accounting implications.  By using the Inventory Adjustment module, you will be able to adjust either the inventory quantity or the inventory cost price and the appropriate G/L entries will be made automatically.

Load Inventory Adjustment Application

Select Inventory, then Inventory Adjustment Grid from the Outlook Bar.

Quantity Adjustment

• Select the By Qty radio button at the bottom of the form.
• Select the Post Date, which is the date of the adjustment.
• Using the tree view, navigate to the Inventory Category which contains the item(s) for which you want to adjust the Quantity
• Enter the corrected quantity in the New Quantity field
• Click on the Adjust button
• Repeat the process until  all of the quantity adjustments have been completed.

Important:  Inventory quantity adjustments should be made on the day the physical inventory is taken.  No sales or purchase should be made during the period that the physical inventory is being taken or prior to making the quantity adjustment.  It is not necessary to take physical inventory or make quantity adjustments for all inventory items on the same day, though it may be desirable to do so for year end purposes.

Cost Price Adjustment

• Select the By Value radio button at the bottom of the form.
• Select the Post Date, which is the date of the adjustment.
• Using the tree view, navigate to the Inventory Category which contains the item(s) for which you want to adjust the Quantity
• Enter the corrected cost price in the New Cost $ field.
• Click on the Adjust button
• Repeat the process until  all of the cost adjustments have been completed.