I need to know how to reverse an inventory deduction. It is unclear to me what the result of a recount is so I am hesitant to do it until I know. Please explain!
Situation: Say I have 10 of an item in stock. One item was deducted from inventory as "theft". This brings my available inventory down to 9 & my COG report for "sales & losses" calculates that one item as profit loss, thereby increasing my COG. Now I have found the item & I want to add it back into inventory & erase it as a calculated COG loss. If I do a recount of 10, it seems like my inventory would go up to 10 but an 11th non-existent item would STILL be recorded as a COG loss. This would make it look like I had more items, a higher COG, & a greater inventory loss than I actually do. Obviously, I don't want this. This would be a huge problem if it happened with a large quantity of items.
So, my questions:
- How does an inventory recount impact your COG, inventory count, etc? Basically I want to know the full effect across my entire system. Does a recount automatically undo your last inventory adjustment, if there was one?
- In my situation, what should I do so I can fix what was done & what is the effect?
Feel free to elaborate. Also, undoing an inventory action & the option to chose what happened to inventory (like donation or in-store use) seems like a basic thing to add.
