The purpose of a Stock Adjustment is to absorb stock. Creating a New Stock Adjustment will affect your Moving Average Cost or MAC. If you have damaged goods or you received promotional goods you didn't pay for, you need to absorb that. However, if you wish to adjust your stock levels as a result of performing a stocktake, you should use TradeGecko’s Stocktake tool instead as this does not affect your MAC. If you are unsure which to use, read more in this article.
As doing a stock adjustment affects your Moving Average Cost, it is crucial to understand how your MAC works, before adjusting the cost of your stock through a stock adjustment.
To create a stock adjustment
Go to Stock Control > Stock Adjustments > click Create New and choose New Stock Adjustment from the drop-down menu.
First, choose the Stock Location of the stock that needs to be adjusted.
Select an adjustment reason - the available Stock Adjustment reasons are:
- New Products
- Production of goods
- Promotional Goods
- Deplete for bundle and hamper
Enter the stock variant that needs to be adjusted. Also enter the amount of stock that needs to be adjusted.
Here, TradeGecko immediately pulls the MAC of the line item. If you have incurred more or less costs and wish to adjust your cost via a stock adjustment, you can edit the Cost Price field. For example, for promotional goods that are given to you for free, you can change the cost price to zero. The MAC will be recalculated accordingly for your variant.
Add a note if required and click 'Save'. Your changes have now been updated. You can go back to the inventory to double-check if you want.
Q: I have a lot of products to adjust, can I do this in bulk?
A: Yes, select the "Import via CSV" button at the top right portion of the screen. It will require you to upload a CSV file that has 2 columns:
- Column 1 is the SKU of the products you'll adjust.
- Column 2 can be either the Quantity (which you'd like to add or subtract from your current Stock on Hand) or the actual Stock on Hand value of your products. Just name the column header accordingly.
Q: I have batch tracked products, what should i do?
You can follow the instructions on this article.