What’s the best way to deal with negative inventory? We have small quantities such as negative half kg for a couple of inventory items. Since this is immaterial, I want to get rid of this by taking this to other income P&L account. Any thoughts on how this can be achieved?
Inventory can be written off if you have less of an item by actual count than Manager reports. See https://guides.manager.io/10709.
Upwards adjustments must be entered by journal entry. Debit Inventory on hand > Inventory item and credit a suitable income account.