QuickBooks is the widely used administrative and finance tracking app and there are multiple terms affiliated with it. One of them is a negative quantity on hand which is depicted in the file if you sell something that isn’t available in the stock. For instance, if you add the sales transaction without adding the purchase transaction, the negative quantity on hand error will be added.
Many people state that they added the purchase transaction but the negative quantity on hand option didn’t vanish. It will remain visible on the balance sheet as well as the inventory valuation detail report. In the inventory valuation detail report, Negative QOH will be added in the QOH column. When the consequences of negative quantity on hand are concerned, the possibilities are multiple inclusive of the following;
- Zero average costs of the items in inventory
- The cost of goods sold will have incorrect values
- Errors in the vendor reports
- The cost of goods sold will have incorrect values in the job costing reports
- Balance errors in the balance sheet
Even after the professional assistance and technological knowledge, most people are unable to find the negative inventory error in the data file. To check for the error, you need to look out in the inventory valuation details and click on “all” from the “dates.” If you find the negative error in the file, you can eliminate it by following the below-mentioned steps;
- Go to Inventory Valuation Details
- Go to “All” through the Dates
- In the on hand column, scroll through to find the negative amount
- Adjust the billing dates or tweak up the invoices
- If there are multiple negative errors, it is advised to repeat step 3 and 4
However, if your file has multiple instances of negative inventory, we at E-Tech offer a service to repair the data file and remove all instances of negative QOH. Please contact us to learn more about the service.