Hey there, Umair Waheed. Welcome to the Community.
Thanks for providing me with a PDF file showing what's happening. I'll help you go over the possible reasons why you're seeing negative inventory. Once the reason is identified, it's proper correction method can be implemented.
Here's a list of the potential causes:
- Inventory items were sold without recording purchases - This means bills were entered with accounts but not inventory items.
- Sales are your first transaction(s) for an item - Inventory reports can show incorrect information if an average cost hasn't been established yet.
- Purchases or adjustments were done before generating sales records - Meaning that transaction dates aren't adjusted properly and need to be changed, if legitimately possible, to show as dated before invoices.
Before attempting our solutions for a scenario like this, Intuit recommends:
- Performing a back up of your QuickBooks company file without overwriting any prior backups.
- Consulting with an accountant to assure any changes made are done accurately. If you need one, I recommend checking out the Find an Accountant tool.
- Not adjusting the current QOH to a positive value, because each negative occurrence must be eliminated.
- Checking how extensive the problem is. If it doesn't appear to be easily repairable, a better option might be to start a new data file.
For detailed steps on how to fix each of the three possible causes mentioned above and prevent this from occurring moving forward, you can utilize our fix negative inventory issues article.
Here's a couple resources about inventory which may come in handy:
If you have any other questions, please don't hesitate to respond. I'll be here to help. Have a great day!
