I bought some stock from a supplier, but two of the items they shipped were wrong. Instead of 10 × item A and 10 × item B, they sent 10 × item C and 10 × item D.
Because the supplier is in another country and I have two different accounts with them to use for when I’m buying directly or through a consolidating agent, they’ve said it’s probably easiest for them to just make an inventory adjustment on their side rather than issue a credit note and an invoice. The values of the items are different, but the goods I’ve received are worth more than those for which I was invoiced, and the supplier has said they are happy to write off that difference, so it works in my favour.
I was hoping I could do the inventory adjustment on my side with a single transaction, but I’m struggling to work out the best way to do it. I had thought that doing something like @Tut describes here would work nicely, but since I haven’t actually received items A and B, they’re not on hand for me to sell / exchange.
In my goods receipt for the shipment I have entered items C and D, although at this stage obviously there is no purchasing transaction associated with them. Should I rather do a goods receipt for items A and B, then exchange them, even though I didn’t actually receive them? Or would it be better to do an inventory write-off then write-on? I’m reluctant to go this route as it involves more transactions and a new income adjustments account, if I understand the guides correctly.
Or would a journal entry work? It looks to me like this also has the problem of needing to select the inventory location, and items A and B are not in either of my locations.