Item Receipts and Inventory List

Hi there melainag. 

Thank you for dropping by the Community today for assistance, I'm happy to provide some insight into what's going on. The discrepancy you're finding on your master inventory list and inventory valuation report can be one of many things, I'm going to attach a few articles below to help trouble shoot the issue as well as list the steps for the most frequent issue that can cause this to happen.

A few causes to this can be:

• You have transactions to Inventory Asset account that do not have inventory items.
• You have inactive inventory items that have a non-zero value.

Solution 1: Use the Balance Sheet and Inventory Valuation reports to find all transactions causing the discrepancy.

1. Close all QuickBooks windows. (Window menu > Close All).
2. Open the Inventory Valuation Detail report.
   1. From the Reports menu, select Inventory then choose Inventory Valuation Detail.
   2. Select the Dates drop-down and choose All.
3. Open the Transaction Detail report from the Balance Sheet.
   1. From the Reports menu, select Company and Financial then choose Balance Sheet Standard.
   2. Select Customize Report.
      1. Set the report date range to All.
      2. Set the report basis to Accrual.
      3. Select Ok.
   3. In the Balance Sheet report, double click (quick zoom) the Inventory Asset amount to open the Transaction by Account detail report.
   4. In the Total By drop-down, choose Item Detail.
   5. Close the Balance Sheet report.
4. Open both Transaction Detail and Inventory Valuation reports. (Window menu > Tile Vertically)  
5. Compare the two reports.
   • The two reports should be identical.
   • The differences will be at the bottom of the Transaction Detail report in a section titled No Item.
   • These transactions affect the Transaction Detail report but do not affect the Inventory Valuation Detail report.
   • If the root cause of the discrepancy is not in the No Item section, then compare the two reports line by line to find the discrepancy.

Solution 2:  Find bills or checks that affected the Inventory Asset account without using items.

1. From the Reports menu, choose Custom Reports then select Summary.
2. On the Display tab:
   1. Select the Dates drop-down and choose All.
   2. In the Display rows by drop-down, choose Item Type.
   3. Select the Advanced button and under the Display Rows section, choose Non-zero.
3. Go to the Filters tab then set the Account filter to Inventory Asset.
4. Select Ok.
5. If a No Item row appears on the report, QuickZoom (double-click) the amount in the row to open the transaction. Edit the transaction by associating an item.

For additional solutions and trouble shooting steps you can refer to these articles: Balance Sheet and Inventory/Stock Valuation reports show different amounts for Inventory Asset accou... and Inventory valuation amounts in Point of Sale and QuickBooks Desktop do not match.

If there's anything else I can do to be of further assistance, feel free to post here. Thanks again for dropping by and have a nice afternoon. 

Thank you for your help. I tried the solution options and was unsuccessful.

I compared the Balance Sheet and Inventory Valuation reports.  The item in question appears on the Transaction Detail report from Balance Sheet but does NOT appear on the Inventory Valuation report.

I see my item receipt for quantity of 2 (received against the PO) , I see the item on the bill for qty 2 (received against the PO) with correct cost, I can see the correct quantity when looking at availability by inventory site...BUT quantity on hand on the master list of inventory shows 0.  We have not sold the item.  

Any other solutions I can try?

Thanks for your help!