Inventory Adjustment
For: Anyone correcting warehouse qty after a count, damage, or write-off — Approve posts it
An Inventory Adjustment is a Draft voucher. Prefix INA. You set what the count should be (Updated Stock). Save does not move stock. Approve updates View Inventory and posts a journal against the item's Inventory account and the income/expense account you picked.
Note: Only items with Track inventory on can be adjusted. Service items and goods with Track inventory off do not appear on the item table or Add Bulk Item, and cannot be approved.
What this module does
1. Creating an adjustment (Draft)
List Add → Add Inventory Adjustment. Pick Division, Branch, Warehouse first — the rest of the form stays locked until those three are set. Save / Cancel.
Inventory Adjustment#: Required. Gear: Configure Inventory Adjustment Number Preferences. Default prefix INA.
Date: Required. Defaults to today.
Reference Number: Optional.
Reason: Required. One reason for the whole voucher, not per line.
Account: Required. Income or expense family — see section 3.
Description: Optional.
2. Lines — current, updated, adjusted, price
Item table plus Add Bulk Item. Duplicate items on the same voucher are blocked in the picker.
Note: Only Track inventory items show here. Service items and goods with Track inventory off do not — the picker is filtered that way after Warehouse is set.
Current Stock: Loaded from that warehouse when you pick the item. Not typed as a plus/minus qty.
Updated Stock: What should be on hand after the count. Required.
Adjusted Stock: Calculated: Updated − Current. Green when positive, red when negative. This is what Approve will add or deduct.
Purchase Price: Defaults from the item's cost price. Required and must be greater than 0 when Adjusted Stock is positive (new batch value). Not required on a decrease — FIFO uses existing batch cost.
Note: To write off 3 units when Current is 10, set Updated Stock to 7 — do not type −3 in Updated Stock.
3. Reasons and the adjustment account
Reason is a fixed list (one per voucher):
| Reason on the picker |
|---|
| Stock on fire |
| Stolen goods |
| Damaged goods |
| Stock written off |
| Stocktaking results |
| Inventory revaluation |
| Other |
Account is the P&L side of the journal. The inventory side is each item's Inventory account on Item Master. Narration: Inventory Adjustment INA….
4. The list, search, and filters
Title Inventory Adjustment with a count. Add. Search (number, reference, status, reason, item name, warehouse, approver). Column picker. Filters: Status, Division, Branch, Warehouse. Columns include Adjustment#, Date, Approved By, Reason, Account, Reference, Status, Description, Division, Branch, Warehouse. Action: View, Edit, Approve, Reject. Row click → detail. No export.
5. Editing a Draft
List or detail. Number stays locked. Same form. Approved or Rejected cannot be edited.
6. Approving — stock and ledger
List confirm: Inventory Approve / Are you sure to approve this inventory? Detail has the same action. Status becomes Approved; Approved By and approval date are stored.
Positive Adjusted Stock: Adds qty at the warehouse, creates a batch (source Inventory Adjustment), adds qty × purchase price to inventory value.
Negative Adjusted Stock: Deducts FIFO batches. Fails if available qty is not enough.
Journal: Increase: debit Inventory, credit the adjustment account. Decrease: the reverse. Posts in the same transaction as the stock change.
Warning: Opening stock when you go live is not this voucher unless you choose to use it that way. Batches can also arrive as Opening Stock / Existing Inventory from item setup — those are not Inventory Adjustment documents.
7. Rejecting
Draft only. Status Rejected. Stock and ledger were never posted, so nothing is reversed. You can then raise a new Draft for that item and warehouse.
8. Detail and Stock Movement
Title Inventory Adjustment Details. Overview: number, date, reason, reference, account, division, branch, warehouse, total items, description, Adjusted Items table (Current / Adjusted / Updated / Purchase Price). Tab Stock Movement after Approve. Sidebar: Edit, Approve, Reject while Draft.
Business rules
| Topic | Rule |
|---|---|
| Save is Draft — stock waits for Approve | Save does not change available qty or post a journal. Approve (Edit, Draft only) writes stock and the ledger. Reject sets Rejected and still does not touch stock. There is no Delete |
| Statuses | Draft, Approved, Rejected. Edit, Approve, and Reject only on Draft |
| Adjustment number | Auto-generated unless you turn that off under Configure Inventory Adjustment Number Preferences. Default prefix INA. Locked after save when auto-generate is on |
| Updated Stock is the new count | Current Stock is loaded from the warehouse and is not the signed qty you type. You enter Updated Stock (what should be on hand). Adjusted Stock = Updated − Current. Positive adds a batch; negative deducts FIFO. Purchase Price is required only when Adjusted Stock is greater than 0 |
| Account | Required. Chart of Accounts picker limited to Expense, Other Expense, COGS, Income, Other Income. Approve also requires that account. Increase: Dr item Inventory account, Cr this account. Decrease: Dr this account, Cr item Inventory account. Item must have an inventory account |
| One pending per item per warehouse | Blocked if that item already has a Draft adjustment for the same warehouse: An inventory adjustment request (INA…) for item … is already pending for this warehouse |
| Tracked inventory items only | The item table and Add Bulk Item show Track inventory goods. Service items and Track inventory off never appear. Approve also refuses them |
| Insufficient stock on Approve | A negative line fails Approve if the warehouse no longer has enough qty. Nothing is half-posted |
| No Duplicate, no list Export, no GST, no attachments | Add Bulk Item can append several items at once. Division / Branch / Warehouse can pre-fill from the module's default configuration on the number drawer |