Negative value for some items ( where no invoice had been received ) Please advise best practise

Dear Group,

I am a couple days in working as a consultant for a company using Dynamics 365.

One of the accountant’s issues have been negative values on stock.

So I have been looking at some of these units that have negative values.

One example;

  • The true number of the item in stock is 31 units but the Invoiced Quantity is down to -95 units.
  • So the inventory report is picking up the value of the negative quantity of -95 units in the “Invoiced Quantity” column.
  • The accounting method is FIFO.

Yellow marked rows in the table shows that for some “Purchase Orders” the units have been received but not invoiced so the “Invoiced Quantity” is not in line with the Goods Receipt Quantity.

When the Warehouse personnel then take out units for “Assembly Consumption” the "Invoiced Quantity "number of units goes down to a total negative number - and then in turn generate a negative value in the financial report for this item.

Could you please advise the best solution for this? My first thought is to chase the vendor for the invoice but I realise that could take months or years in worst case to get it straightened out.

I assume this is a quite common issue so what is your advise on this matter?

Thank you in advance for any advice.

Kind Regards Kerstin