Inventory items can break, spoil, become obsolete, or be stolen. Or, you could receive additional stock, such as a free shipment. For this reason, you may need to change your inventory records to match actual quantities.
Use the Inventory Adjustments and Transfers window to record any changes to the quantity of inventory you keep in stock (in your warehouse or garage), that are not a result of a purchase or sale (such as write-offs).
You can also
use this window to transfer inventory from one warehouse location
to another.
Note:
If you are using FIFO
inventory costing, and you are reducing the quantity of an item, you
cannot adjust the Unit Cost or Amount.
Performing inventory adjustments and transfers for items that have serial numbers is much the same as any other transaction. The basic rules for adjustments and transfers are:
Adjust inventory levels for an item
Review the details of the transaction at any time during its preparation
Transfer inventory items between locations