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Correct or Reverse an Inventory Adjustment

Correct or Reverse an Inventory Adjustment

Overview

This guide will help you correct an wrong adjustment while preserving stock and accounting audit trails.

Muhasib reverses or updates the adjustment according to its rules and recalculates affected balances.

Who can do this

You need access to Inventory Adjustment update/reversal and affected period.

Before you start

Identify the original document, current stock, later movements, valuation effect, correct result, reason, and approval.

Before saving, check that the correct company is open and that you have permission to complete this task.

Where to find it

Open Stock Adjustment Inquiry/report and locate the original adjustment.

Correct or Reverse an Inventory Adjustment

Step 1: Confirm the original adjustment and downstream movements

Step 2: Update only safe descriptive fields where permitted

Step 3: Use the authorized reversal/cancel workflow for quantity, direction, stock identity,

Use the authorized reversal/cancel workflow for quantity, direction, stock identity, or cost errors.

Step 4: Record reason and approval reference

Step 5: Create one correct replacement when required

Step 6: Reconcile stock and accounts after correction

Check your work

Confirm original status, correction link, replacement, stock ledger, valuation, and general ledger.

Take a moment to check your work before closing the window. This small check can save time later.

If something goes wrong

  • Do not hide the error with an unrelated adjustment.
  • Escalate when later stock movements or a closed period block correction.

What to do next

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