Add “Inventory Adjustments” as its own line on the Income Statement

Today, whenever we write off or recover inventory, those numbers just get buried in COGS. That makes it tough to see what really happened with inventory and even harder to explain month-end differences.

It would be much clearer if there was a dedicated Inventory Adjustments line on the Income Statement, with the option to click and see the details.

Here’s what would help:

• A new line under COGS called Inventory Adjustments.

  • Losses (like damaged or missing items) show as an expense.

  • Gains (like found or added items) show as income.

• Click the line to see details: date, product, quantity, type of adjustment (add, delete, reconcile), unit cost, and total impact.

• These adjustments should also update inventory totals on the Balance Sheet, so the two reports stay in sync.