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Community Explorer **

If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do not agree, how do I fix it?

 
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Best answer 07-02-2019

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QuickBooks Team

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Hi @quailr,

 

Allow me to join in the conversation and provide a helping hand and getting your issue resolved.

 

If what you mean by going back is to remove the inventory items in question along with their respective transactions, it is possible in QuickBooks Online (QBO).

 

First, let's remove the inventory items. Let me show you how:

  1. Go to the Sales tab and then select Products and Services.
  2. Tick the inventory item(s) you want to remove, then click the Batch actions drop-down menu. Select Make inactive.

Next, we need to recreate the inventory item(s). Make it non-inventory if you no longer wish to track their quantity.

 

And finally, we need to recreate all transactions related to the inventory item(s) you made inactive. Delete each one, and recreate it using the non-inventory products you've recently created.

 

Another option I can suggest for you is to contact our Technical Support team. They can pull up your account in a secure environment, and with your permission, remotely access your computer to get a better view of your issue.

 

Here's how:

  1. Log in to your QBO company.
  2. Click the Help menu button.
  3. Select Contact us.

Take some time to view this article: Impacts of inventory tracking on balance sheet and profit & loss reports. It provides insights on what happens to reports such as the balance sheet and the profit & loss with regards to inventory tracking.

 

I'll be here to help out and answer your question. Drop me a comment below and I'll get back to you as soon as I can.

View solution in original post

9 Comments
QuickBooks Team

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Great day, @quailr.

 

Welcome to the Community. I can help you fix the Balance Sheet report to ensure that the Inventory Asset matches with the Asset Register.

 

As an overview, the Balance sheet report won't match with the register if your company's fiscal year is different than the calendar year. Thus, you'll need to change the date on both the fiscal and the calendar year to make sure they matched. We have two options to help fix the issue. Here's how:

 

Option 1: Change the date of the report to match your fiscal year.

 

1. Go to the Reports tab on the left menu.
2. Open the Balance Sheet report.
3. Select Customize.
4. Choose the appropriate Report period.
5. Click the Run report button.

 

Option 2: Change your fiscal year to match the calendar year.

 

1. Click on the Gear icon at the top right.
2. Choose Account and Settings.
3. From the left menu, select Advanced.
4. In the Accounting section, click on the Pencil icon.
5. From the First month of income tax year drop-down, choose January.
6. Click Save and Done.

 

Now, let's try running the Balance Sheet report and compare the amount with the register. As a reference, you can also read through our help article: Basic Troubleshooting for Balance Sheet FAQs. It provides you several easy troubleshooting steps to help you resolve common Balance Sheet issues in QuickBooks Online.

 

Don't hesitate to write again if you need help with anything else. We're always happy to assist. Take care!

Community Explorer **

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Previous response not helpful. I do not find a Balance Sheet Report in QB Online. Is that the same as or similar to Statement of Financial Position? Please see the attached screen captures
Community Explorer **

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

My apologies, the last comment was sent before complete. There was to be a second screen capture "Financial Position Report.PNG" included that will help define my problem. It seems that I can only attach one file at a time.
Established Community Backer ***

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

@quailr 

 

Yes, your report in the US is called a balance sheet too

 

the value of inventory asset on the balance sheet must match the value shown as the total in the inventory valuation summary report - does it?

 

If not then the most likely reason is that you used the account inventory asset in a transactions, an adjustment, or in a journal entry - and you can not do those type of things with that account in QB if you are using inventory type items.  Did you?

Community Explorer **

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...


@Rustler wrote:

@quailr 

 

Yes, your report in the US is called a balance sheet too

 

the value of inventory asset on the balance sheet must match the value shown as the total in the inventory valuation summary report - does it?

 

If not then the most likely reason is that you used the account inventory asset in a transactions, an adjustment, or in a journal entry - and you can not do those type of things with that account in QB if you are using inventory type items.  Did you?


Yes! I apparently misunderstood some directions and used the inventory adjustment function. How do I correct this?

QuickBooks Team

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Hi quailr,

 

You'll want to delete the inventory adjustment to correct your reports. Let me show you how to do it.

  1. In your Inventory Valuation Detail report, click the Inventory QTY Adjust amount.
  2. Click Delete at the bottom.
  3. Click Yes when prompted.

Once done, open your Statement of Financial Position report again.

 

You can also consult your accountant before doing these steps to correctly record this.

 

Here's the handy article for more information about: How to adjust inventory quantity on hand.

 

You might also want to check out this link for future reference: Inventory and projects for QuickBooks Online.

 

Let us know if you have other concerns. The Community is always here for you.

Community Explorer **

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Sorry but all of the recommended solutions have failed to resolve my issue. After following the most recent recommendation and deleting the Inventory Qty Adjustments, this changed the quantity and asset value in the Inventory Valuation Detail report but did not change the Inventory Asset value in the Financial Position report. This quantity also now does not match our quantity on hand which is zero.

 

There was a further reference to "How to adjust inventory quantity on hand" which simply states to use the Inventory Qty Adjustment function. Given my knowledge now and the informal method of sales tracking of our organization, I should not have created these inventory items. How do I go back?

Highlighted
QuickBooks Team

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Hi @quailr,

 

Allow me to join in the conversation and provide a helping hand and getting your issue resolved.

 

If what you mean by going back is to remove the inventory items in question along with their respective transactions, it is possible in QuickBooks Online (QBO).

 

First, let's remove the inventory items. Let me show you how:

  1. Go to the Sales tab and then select Products and Services.
  2. Tick the inventory item(s) you want to remove, then click the Batch actions drop-down menu. Select Make inactive.

Next, we need to recreate the inventory item(s). Make it non-inventory if you no longer wish to track their quantity.

 

And finally, we need to recreate all transactions related to the inventory item(s) you made inactive. Delete each one, and recreate it using the non-inventory products you've recently created.

 

Another option I can suggest for you is to contact our Technical Support team. They can pull up your account in a secure environment, and with your permission, remotely access your computer to get a better view of your issue.

 

Here's how:

  1. Log in to your QBO company.
  2. Click the Help menu button.
  3. Select Contact us.

Take some time to view this article: Impacts of inventory tracking on balance sheet and profit & loss reports. It provides insights on what happens to reports such as the balance sheet and the profit & loss with regards to inventory tracking.

 

I'll be here to help out and answer your question. Drop me a comment below and I'll get back to you as soon as I can.

View solution in original post

Community Explorer **

Re: If Statement of Financial Position: Inventory Asset and Asset Register: Inventory Asset do no...

Thank you Ryan_M. Using the accrual method on the balance sheet caused this report to show the correct Inventory Asset value without resorting to deletion of the necessary Inventory Qty Adjustments as had been previously recommended.

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