Problem: I have excessive amount occurred because of Inventory Write off done by Average Cost , how can I fix it?
Solution: The reversal entry for excessive expense and register correction for the inventory should be done.
1) Item has excessive amount - 267,823.99 occurred because of Inventory Write off
The item was purchased by different prices:
And then it was written off by Average Cost Price (since the Inventory Write off automatically picking the average cost price:
but later on the part of the items were returned to the supplier (by Purchase price):
That's why the excessive amount has occurred o item's balance.
2) Check the transactions for Inventory Write off:
3) Enter reversal Other Expense document for the same :
4) Check Inventory and Expense Register in the Inentory Write off for the same Item:
5) Enter register correction for the above as Receipt :
fill as below and save :
| Period | 31/12/2021 00:00:00 |
| # | 1 |
| Activity | Yes |
| Register records type | Receipt |
| Entity | AMISTAD OILFIELD ENGINEERING SERVICES LLC |
| Warehouse / Department / Company | AMISTAD OFES _ ACT SITE OFFICE |
| GL Account | |
| GL Account | Goods |
| Item | SS Plate-A240 GR.304L-12000X2000X6.00 |
| Batch | |
| Quantity | |
| Amount | 267,823.99 |
| Corr. Structural Unit | |
| Corr. GL Account | |
| Corr. GL Account | |
| Corr. Item | |
| Corr. Batch | |
| Corr. Order | |
| Specification | |
| Corr. Specification | |
| Order Sales | |
| Sales Document | Inventory Write Off AM0021-00000108 dated 04/11/2021 00:00:00 |
| Sales Department | AMISTAD OFES _ ACT SITE OFFICE |
| Responsible | |
| VAT Rate | |
| Fixed Cost | No |
| Production Expenses | No |
| Return | No |
| Return Type | |
| Content of Transaction | |
| Business Activity Sales | |
| Expense Item | |
| Corr. Expense Item | |
| Cost Of Goods Sold GL Account | |
| Project | |
| Project Task | |
| Sales Item | SS Plate-A240 GR.304L-12000X2000X6.00 |
6) Check the statements and reports:
