Stock Adjustments
A Stock Adjustment corrects the physical quantity of stock on hand without a sales or purchase transaction. Common uses include:
- Periodic stock count corrections
- Writing off damaged or expired goods
- Recording opening inventory balances
- Correcting system errors
Adjustment Types
Adjustments are categorised by Adjustment Type (configurable in setup):
| Type | Effect | Example |
|---|---|---|
| Stock Count | Increase or decrease | Physical count result |
| Write-Off | Decrease | Damaged / expired goods |
| Customer Return | Increase | Goods returned, back to stock |
| Opening Stock | Increase | Initial stock entry |
Each type has a pre-configured GL account for the cost entry.
Approval Workflow
Adjustments follow a workflow:
DRAFT → PENDING APPROVAL → APPROVED → POSTED
↓
REJECTED
Users without approval rights submit to Pending Approval. Approvers review and approve or reject before posting.
Posting Impact
When an adjustment is Posted:
- The Stock Balance
quantityOnHandis updated - A Stock Ledger entry is created
- A Journal Entry is posted: DR/CR Inventory ↔ Adjustment Account
Opening Stock
To enter opening inventory for new products:
- Go to Inventory → Opening Stock
- Enter quantities and cost prices per product per warehouse
- Click Post
This is the preferred way to initialise stock for a new business.