Stock Adjustments

Fix discrepancies between physical stock and system records.

Interface Overview

Business Overview

Stock Adjustments are used to manually update inventory levels for reasons other than sales or purchases (e.g., theft, damages, found items, or internal use).

Actions

Recording an Adjustment

1. Go to Inventory > Adjustments.
2. Click the Add Adjustment button.
3. Branch: Select the location where the stock adjustment is occurring.
4. Type: Select "Increase" (found items) or "Decrease" (damage/loss).
5. Reason: Record why the adjustment is being made (essential for audit).
6. Items: Select products and enter the quantity to adjust.
7. Click Save & Post.
8. Effect: Stock levels are updated immediately in the General Ledger and Inventory Manager.

Viewing History

• Search adjustments by date or user to identify patterns in stock leaks.

Adjustment Detail View

Complete adjustment details with stock impact and accounting entries.

Overview Section

The adjustment detail view provides complete information about the stock adjustment:

• Header: Adjustment number, date, branch, and status (Draft, Posted)
• Adjustment Type: Increase (addition to stock) or Decrease (removal from stock)
• Reason: Explanation for why the adjustment was made (e.g., damage, theft, found items)
• Line Items: List of products with quantities adjusted
• Stock Impact: Before and after quantities for each item
• User: Who created the adjustment

Journal Entries Tab

The Journal Entries tab displays the accounting impact:

• For Increase Adjustments:
  • Debit: Inventory Asset account (increasing inventory value)
  • Credit: Stock Adjustment account (recording the adjustment)
• For Decrease Adjustments:
  • Debit: Stock Adjustment or Loss account (recording the reduction)
  • Credit: Inventory Asset account (decreasing inventory value)
• Date & Reference: Transaction date and journal entry reference
• Branch Context: Shows which branch the adjustment was recorded in

Updating

• Only draft adjustments are editable. Posted adjustments are finalized documents.

Voiding an Adjustment

1. Open the adjustment detail and click Void.
2. Effect: The inventory change is reversed, restoring the stock count to its state before the adjustment.

[!WARNING] Audit Critical: High frequency of manual adjustments is often a sign of warehouse management issues or security breaches.