If you have purchases that resulted in an item having an on-hand quantity of less than zero

This topic applies to you only if you've marked the Lock Period preference in the Preferences window - Security view.

If you lock a period which contains unadjusted Receive Items Purchases transactions, the adjusting entry, when made, will be recorded as an Inventory Adjustment as of the adjusting entry date, not in the locked period.

An unadjusted Receive Items Purchases transaction is one in which the anticipated Cost of Sales that was recorded on the Receive Items purchase has not been adjusted by recording the actual item cost amount. Adjusting entries can be made with a purchase, an auto-build or an inventory adjustment.

If you want to record the adjusting entry in the same period as the Receive Items Purchases transaction, record the adjustment before you lock the period.

To see a list of item receipts with unbilled items, use the Purchases Register [All Purchases] report. Highlight the report and then click the Customize button. On the Advanced Purchases tab, select Only Purchases with Received/Unbilled Items in the Item Receipts field.