The Item in question is a Finished Good that is normally produced through a Production Order at which point it is assigned a Lot No. for tracking.
A Positive Inventory Adjustment was processed for the same Item/Lot/Location/Qty at Standard Cost. The Adjustment was posted to the GL. The Qty-on-Hand is now 1.
The Item is then added onto a Sales Order Line for Shipment and Invoicing. When assigning the Lot No. using the Item Tracking Lines, I get the Availability Warning Message that Total Available Qty is -1.
I am not able to correct this with a Negative Inventory Adjustment because when I assign a Lot No. I get the same availability message.
Kindly help me understand why this is happening and how I can resolve the problem.