writing off past two year item related entries


Need some input from Forum members regarding Inventory write off for one of our client. They are running Navsion for 2 and half years at the moment when i took over I see there is a big problem in 2005 and 2006 inventory transactions which has huge implications on valuation. since we are already in mid 07 starting the database freshly is not an option but the client ready to write off previous two years transactions in the live DB.

Can somebody share any of their valuable thoughts about way forward options? it would be of great help if somebody can give an idea,

everyone have a nice time,



Well I would do this:

  1. Create a physical inventory journal and set all items to quantity 0.

  2. Run all the inventory cost adjust and post to g/l jobs. Make sure all inventory costs and quantities are in zero.

  3. Do G/L adjustemts manually

  4. Do an actual inventory count and post the results in an inventory journal with the costs you want to use.

This of cause is not something that should be done on a regulary basis, but only for a major clean up. Otherwise I’m sure you would get an issue with the auditor of the company.

Yep, what Erik recommend is the most complete way. Basically reset everything to 0 using item journals, run adjust cost, then positive adjust items back WITH THE NEXT POSTING DATE!

So if your negative adjustments are for 12/31/06, then your positive adjustment would be for 1/1/07.