How to handle damaged goods in inventory?

EalSuite Platform Items
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1

I found some damaged items in my inventory. What’s the correct way to handle this in EalSuite?

Should I just reduce stock or is there a proper accounting way to do it?

2

You can actually handle it in two ways depending on how detailed you want your accounting to be.

If you just want to reduce stock, you can go to Inventory Adjustment and enter a negative quantity for that item. That will reduce the stock directly.

3

Okay, that sounds simple. But will that reflect anywhere in accounts?

4

Not really in a structured way. It adjusts inventory value, but doesn’t tag it as “damaged goods” in your accounts.

5

If you want proper tracking, better to create a “Damaged Goods” ledger under indirect expenses.

Then while doing the inventory adjustment, link it to that category.

That way:

  • Stock reduces

  • Expense gets recorded

  • It shows correctly in P&L and reports

6

Makes sense. So:

  • Simple → just adjust stock

  • Proper accounting → use ledger

Got it :+1: