Obsolete Inventory

Occasionally inventory is obsolete, spoiled or damaged somehow and you need to get rid of it.

One way is to set up an account called something like “spoilage/obsolete” as a sub account of COGS. Then use inventory adjust, select the account “spoilage/obsolete” as the adjusting account and then lower the quantity on hand of the item that are no good anymore.

This assumes of course that you really do throw the items away.

Published in:Inventory |on June 14th, 2008 |

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