Hi, We have some items that on their item ledger cards they are enterd as “non-stock” in the General Product Posting Group and the Inventory Value Zero box is checked. This allows us to show a quantity on hand on certain items but show no dollar value in inventory. On occasion I have to make positive adjustments to these items - for example +2 @ 5$ =$10. When I do that, I do not find where it ever shows up on a financial statement. It does not show up on the Balance sheet in Inventory, which is what I would expect. But neither does it show up on the Income Statement in any expense account. When I run the periodic activity for inventory it again shows no activity for the adjustment. Shouldn’t the value of these adjustments show up somewhere? Thanks for you help. Dan
This is an easy one [:D] If you check Inventory Value Zero, the inventory is posted at no value, regardless of the value you post on the journal. Hence, there will be no Balance Sheet or Expense Posting.
Hi Chris, Thanks for your answer. I know this must be basic but what happens then when you purchase these items? The payment must be posted somewhere. Is that to expense and then will it show on the Income Statement? Dan
Hi, The Purchase goes the Normal way, Updating the Payables and Vendor accounts. Only the Value entries are not generated as in regular purchase. Regards, DD