Forum Discussion

Oceana's avatar
Oceana
Contributing Cover User
3 years ago

Inventory purchase at wrong price

Hi all, I have a supplier that has billed me a large qty of items at a lower price by mistake. They are sending me a new invoice with the correct prices and credit note to apply to the initial invoi...
  • Mike_James's avatar
    3 years ago

    Hi Oceana , I suggest you record a service bill on the supplier's account for the extra cost, allocated to an inventory adjustment account, and then record an inventory adjustment to increase the cost of the remaining stock, allocated to the same account.

     

    These two entries will partially offset each other; the net debit matches the amount of excess gross margin on the sales recorded since the first purchase, which as you note, can't be corrected.