Processing Adjustments Automatically

Usually, you process adjustments after printing the Item Valuation Report and finding that your costs are out of balance with inventory amounts.

  • Use the I/C Adjustments Screen to change item costs and quantities as needed.
    • To update the quantity on hand at a location to agree with your physical inventory count.
    • To return goods to a vendor after you have completed the receipt.
    • To remove additional cost remaining on a receipt when you return the total quantity received for an item at a location to the vendor.

    For more information, see I/C Adjustments Screen.

  • Use the Post Inventory Reconciliation screen to post the counts and costs that you entered in the Physical Inventory Quantities screen. The program creates adjustment transactions when you post inventory reconciliations.

    For more information, see I/C Post Inventory Reconciliation Screen.

If you use Project and Job Costing, material adjustment transactions created by Project and Job Costing will appear in Inventory Control showing adjustments to particular contracts, projects, job categories and overhead accounts.

Note: You cannot adjust materials for jobs from the Inventory Control program.

  1. Print the Item Valuation Report.
  2. Physically check inventory quantities to make sure that the items will be adjusted properly.

To process adjustments automatically:

  1. Open Inventory Control > I/C Periodic Processing > Process Adjustments.

  2. Enter the range of item numbers for which you want to create adjustments.
  3. Enter the range of locations for which you want to create adjustments.
  4. Choose one of the following types of adjustments:
    • Total cost to zero for items with zero quantities.
    • Total quantity to zero for items with zero total cost.
    • Total cost for items with non-zero quantities and zero total cost.

      If you choose this type of adjustment, you must also choose the type of cost to which you want the cost adjusted:

      • Standard cost.
      • Most recent cost (includes the tax).
      • Last Unit cost (does not include the tax).
      • User defined cost 1.
      • User defined cost 2.
  5. Click Process.
  • Print the Item Valuation Report and compare it to the report that you printed earlier.
  • Print the Adjustment Posting Journal to check the actual posted adjustments.