My client just setup their inventory in Quickbooks for the first time. They have over 200 items. But when they loaded in the cost of the item, they forgot to take into account the discount that the supplier gave them at the time of the purchase. So in other words, they loaded in the suppliers list price of each item as the cost for each item. They are using the Averaging of COGS method. Is there a way to just record the total of the discount as a lump sum in COGS without having to go in and change the cost on over 200 items? If so, can they do this after every purchase in the future and should they set up a COGS subaccount called Discounts? Need to fix this ASAP. Thank you so much for your help.
Thank you Madelyn but I want to know if changing the price on every item is really necessary in order to record the discount they received. It is a non-profit and paying for time is an issue to them. Can I just do an JE to record the discount in the Inventory Asset account to reflect the true value of the inventory (which includes the discount)?