So, I purchased a component that I was intending to resell to a customer. It had a funky notch on the connector, so I could not use this purchase. I had to purchase the same item from a different vendor, that I used successfully.
How do i handle the original bad purchase? Right now, I have an item that I have purchased (and can't use), sitting in my inventory in quickbooks. I would like to create a "bad purchases" account in the chart of accounts, to account for, and track these types of purchases. So, what type of account do I need to create, and how do I move the bad inventory into this new account?
Hi @rootlookup , based on thisrelated post you could use credit memo. But in my opinion if you need refund from vendor use credit vendor. It's okay too making an account such as bad inventory or shrinkage inventory as expense (dr shrinkage inventory cr inventory). May others expert comment this.