Enter opening inventory balances

1. Go to the Inventory menu > Create inventory adjustment.

2. Enter details of the adjustment.

   

   A	The Inventory journal number appears by default. You can change this is if you want, as well as the date of the adjustment. You can also enter a description of the inventory adjustment transaction. Select whether you want this adjustment to be allocated as an end-of-financial-year adjustment. EOFY adjustments can be excluded from your financial reports.
   B	Choose the Item ID of the item you want to adjust (inventoried items only). The name and the current on-hand quantity of the item appear. To find an item, you can start typing the item number or item name into this field. UI Text Box size medium type note Entering a new item? Click the dropdown arrow in the Item ID column and choose + Create Item. Enter the item details and click Save. Learn more about Creating items. If you want to see information about an item, such as the quantity on order, click the information icon: You can also make changes to an item by clicking Edit item.
   C	In the Adjustment column, enter the quantity of the item held. Only enter the quantity variation. Enter the quantity in inventory units, not buying or selling units. Enter a positive number — that number is added to your on-hand inventory. If you enter a negative number, that number is subtracted from your on-hand inventory. When you enter the adjustment: the New on hand column displays what the on-hand quantity of the item will be after recording the adjustment the Unit cost of the item appears by default. This is calculated as the total cost of the item divided by the number of units on hand. If these are new items, enter their purchase cost the Amount field displays the value of the adjustment.
   D	Choose the account you want to assign the adjustment amount to. If you’re reducing the inventory value, this account is usually a cost of sales or expense account.
   E	If the item is related to a job, choose the Job.
   F	You can add a description of the adjustment line in the Memo field.

3. Click Save to save the inventory adjustment.
   
   

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   You can also make inventory adjustments to account for stock damage and losses, or to change the value of your inventory — for examples, see Making inventory adjustments.