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

If there are one or more unadjusted Sales transactions in the current fiscal year, those transactions won't be removed from your company file when you start a new fiscal year in MYOB AccountEdge. If you start a new fiscal year, the adjusting entries must then be recorded in the new fiscal year. The adjustment will be recorded as an Inventory Adjustment as of the adjusting entry date in the new fiscal year.

The transactions are unadjusted and won't be purged because the anticipated Cost of Sales that was recorded on the sale or 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.

To avoid having the sale recorded in the current fiscal year and the adjusting entry in the next fiscal year, simply record the adjusting entries in the current fiscal year.

To see a list of your items with their on-hand count, use the Items List Summary report. Move your mouse over the Units On Hand number, and click the number to open the Items Register window.