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nancyl
January 30, 2020
Question

Changing the items COGS after invoices?

  • January 30, 2020
  • 8 replies
  • 91 views

When I entered some of my inventory I put the wrong COGS.  Half way through last year I corrected it. Now when I run the P&L the ones that WERE wrong and I fixed to New Inventory are showing up as a Debit.  I tried removing the item, saving the invoice and putting the item on the invoice again but it still shows up.  The only way that I can fix it is to change the part number.  Changing the part number would be a nightmare for reports.  Is there any other way to fix this?

FYI - We don't keep tracking of inventory.  We do list Vendors for some parts but not for all. 

Thank you! 

8 replies

Emily M
January 30, 2020

Good afternoon, @nancyl.

 

I’m happy to provide information about why the new inventory is showing up as a debit. You can run a Transaction Journal Report to see the Sales/Accounts Receivable transaction and you’ll see the Inventory/COGS transactions which credit the Inventory Asset and debits the COGS accounts. 

 

Here’s how:

 

  1. Go to the transaction toolbar, select Reports, then choose Transaction Journal.
  2. Pick the QuickBooks Reports menu, then Choose Transaction Journal.
  3. For Windows, on the keyboard, press Ctrl+Y or Mac go to CMD+T

 

For more information about inventory assets and cost of goods, follow the link below:

 

https://quickbooks.intuit.com/learn-support/en-us/manage-inventory/understand-inventory-assets-and-cost-of-goods-sold-tracking/00/203394

 

I’m just a post away if you need anything. Have a good one.

nancylAuthor
January 30, 2020

Thank you for your response.  I don't think I explained myself very well.  When I run the P&L report and click on the NEW INVENTORY  which is how I have the items we buy listed, some invoices with costs are showing up on there as a debit. When I research the item, these items I had changed them from "I don't know what" to "NEW INVENTORY" in the LIST.  If I remove the item from the invoice and run the P&L report they are gone.  If I put the item back on the invoice, the P&L report shows them again. The costs are making our P&L NEW INVENTORY figures much high than they should be.  I can create a new Part but that really sucks for reports because I don't want to have 2 different part numbers for the same items.  ALSO, can I disable the inventory tracking being 3 years into this?  We never track inventory. 

lin_jcaj
Level 9
January 30, 2020

Thanks for clarifying about your inventory concern, nancyl.

 

Let's create a Journal Entry to adjust the amount of your COGS. Make sure consulting with your accountant before making the task to ensure that proper recording is applied. 

 

Once you're done with the correction, you can now turn off your inventory tracking in QuickBooks Desktop to avoid this from happening again moving forward.

Here's how:

  1. From the Edit menu, select Preferences.
  2. Select Items and Inventory tab, then go to Company Preferences.
  3. Make sure that Inventory and purchase orders are active box is unchecked.

If you need help in customizing your reports, please check out this article for the detailed steps and guide: Customize reports in QuickBooks Desktop.

 

Please let me know if you need more help with managing your inventory. I'm here to help.

BobFTW
September 13, 2021

We have an issue with COG entry.   We entered COG as $85 should have been $.85 per unit.

We can edit and fix item as of today but entry was back in May so sales of that item from May to today have wrong COG (messed up any reports).  How do we go back in time and edit COG as of last May?

Bob 

DivinaMercy_N
DivinaMercy_NModerator
Moderator
September 13, 2021

I'm here to make sure you'll get the right support in fixing your COGS entry, @BobFTW.

 

You can still edit the amount on your transactions way back in May as long as you haven't closed your books yet. You may also need to enter journal entries on the other account aside from COGS, so it's better to reach out to your accountant for guidance. This way, we can ensure that everything will be accurate and avoid messing up your company data. If you're not affiliated with one, you can use our Find an Accountant tool to look for a Pro-Advisor near your area.

 

For more information in tracking your cost of goods sold in QuickBooks Desktop (QBDT), you can visit this page: Understand inventory assets and cost of goods sold tracking. This also provides an overview of how QBDT handles inventory assets, average cost, and Cost of Goods Sold (COGS). 

 

If in case you have products you build using inventory parts and need to track them, you can check out this article for the detailed instructions: Track the products you manufacture. 

 

I'm here to back you up again if you have more questions about fixing your COGS entry. Simply leave a comment below to notify me of your response. Have a great day ahead. 

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