Inventory profit margin is 100%

1

INVENTORY PROFIT MARGIN REPORT IS 100% FOR ALL INVENTORY ITEMS, COST OF SALES IS 0
HOW CAN WE RESOLVE THAT ?

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2

If you have zero inventory balance and you sell an item, the item profit margine will be 100%

3

Yes, this would be the case for negative inventory. I think the report can be improved so it can exclude sales transactions for which cost of goods sold cannot be calculated due to negative inventory. This would make profit margin figure more accurate.

4

Hi
Lubos, There is a problem in the Inventory margin report where every product showed 100% margin with cost of sales showing ‘0’
Then after running inventory recalculate. All products are showing wrong amount on a given particular date