{"id":151251,"date":"2026-10-12T10:55:08","date_gmt":"2026-10-12T10:55:08","guid":{"rendered":"https:\/\/docs.daftra.com\/?post_type=tutorial&#038;p=151251"},"modified":"2026-10-20T12:43:17","modified_gmt":"2026-10-20T12:43:17","slug":"recording-damaged-goods-damaged-items-and-tracking-their-quantities","status":"publish","type":"tutorial","link":"https:\/\/docs.daftra.com\/en\/tutorial\/recording-damaged-goods-damaged-items-and-tracking-their-quantities\/","title":{"rendered":"Recording Damaged Goods (Damaged Items) and Tracking Their Quantities"},"content":{"rendered":"<div dir=\"ltr\" lang=\"en\">\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">The system has no separate item type called &#8220;damaged item&#8221;, but you can record damaged goods and deduct their quantities from inventory, track their quantities, and charge their value to a dedicated damaged goods expense account, using the regular inventory tools. This guide explains the available methods, the journal entry for each one, and how to record scrap in manufacturing.<\/p>\n<div style=\"display: flex; gap: 10px; background: #f6f8fb; border-left: 4px solid #1a56db; border-radius: 6px; padding: 14px 16px; margin: 0 0 18px;\">\n<p><span style=\"flex: 0 0 auto; font-size: 18px; line-height: 1.6;\">\ud83d\udec8<\/span><\/p>\n<p style=\"margin: 0; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Note:<\/strong> Make sure the <strong style=\"color: #111827;\">Inventory Management<\/strong> app is enabled.<\/p>\n<\/div>\n<div style=\"border: 1px solid #e5e7eb; border-radius: 8px; padding: 12px 16px; margin: 0 0 20px;\">\n<p style=\"margin: 0 0 6px; font-weight: bold; color: #111827;\">Contents<\/p>\n<ol style=\"margin: 0; padding-left: 22px;\">\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#choose\"><strong style=\"color: #1a56db;\">Choose the right method<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#prepare\"><strong style=\"color: #1a56db;\">Suggested setup before you start<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#writeoff\"><strong style=\"color: #1a56db;\">Method 1: Writing off damaged goods directly from inventory<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#transfer\"><strong style=\"color: #1a56db;\">Method 2: Transferring damaged goods to a damaged goods warehouse<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#manual\"><strong style=\"color: #1a56db;\">Method 3: When requisitions aren&#8217;t enabled<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#stocktaking\"><strong style=\"color: #1a56db;\">Finding damaged goods during stocktaking<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#sell\"><strong style=\"color: #1a56db;\">Selling damaged goods (scrap)<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#mfg\"><strong style=\"color: #1a56db;\">Scrap items in manufacturing<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#reports\"><strong style=\"color: #1a56db;\">Tracking damaged goods quantities<\/strong><\/a><\/li>\n<li style=\"margin-bottom: 4px;\"><a style=\"color: #1a56db;\" href=\"#faq\"><strong style=\"color: #1a56db;\">FAQs<\/strong><\/a><\/li>\n<\/ol>\n<\/div>\n<h2 id=\"choose\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Choose the right method<\/h2>\n<table style=\"width: 100%; border-collapse: collapse; margin: 0 0 18px;\">\n<tbody>\n<tr>\n<th style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; background: #f6f8fb; font-weight: bold;\">Your need<\/th>\n<th style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; background: #f6f8fb; font-weight: bold;\">Method<\/th>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">Deduct the damaged quantity from inventory and charge its value as a loss<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><a style=\"color: #1a56db;\" href=\"#writeoff\"><strong style=\"color: #1a56db;\">Method 1<\/strong><\/a>: an outbound requisition.<\/td>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">Keep the damaged goods and track their quantities before disposing of or selling them<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><a style=\"color: #1a56db;\" href=\"#transfer\"><strong style=\"color: #1a56db;\">Method 2<\/strong><\/a>: transfer them to the damaged goods warehouse.<\/td>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">Requisitions aren&#8217;t enabled in your account<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><a style=\"color: #1a56db;\" href=\"#manual\"><strong style=\"color: #1a56db;\">Method 3<\/strong><\/a>: a manual deduct transaction from the product page.<\/td>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">Scrap resulting from the manufacturing process<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><a style=\"color: #1a56db;\" href=\"#mfg\"><strong style=\"color: #1a56db;\">Scrap items in manufacturing<\/strong><\/a>.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2 id=\"prepare\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Suggested setup before you start<\/h2>\n<ul style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">An expense account for damaged goods<\/strong>: from the <a style=\"color: #1a56db;\" href=\"http:\/\/go.daftra.com\/v2\/owner\/chart-of-accounts\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Chart of Accounts<\/strong><\/a>, add a sub-account under <strong style=\"color: #111827;\">Expenses<\/strong> with a name such as <strong style=\"color: #111827;\">Damaged Goods Losses<\/strong>, so the value of damaged goods appears as a separate expense in the income statement. Without it, damaged goods are recorded by default on the <strong style=\"color: #111827;\">Other Debit<\/strong> account.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">A warehouse for damaged goods<\/strong> (optional): from <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/stores\/index\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Warehouses<\/strong><\/a>, add a <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/stores\/add\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">New Warehouse<\/strong><\/a> with a name such as <strong style=\"color: #111827;\">Damaged Goods Warehouse<\/strong>, if you want to keep the damaged goods and track their quantities.<\/li>\n<\/ul>\n<div style=\"display: flex; gap: 10px; background: #f6f8fb; border-left: 4px solid #1a56db; border-radius: 6px; padding: 14px 16px; margin: 0 0 18px;\">\n<p><span style=\"flex: 0 0 auto; font-size: 18px; line-height: 1.6;\">\ud83d\udec8<\/span><\/p>\n<p style=\"margin: 0; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Note:<\/strong> To record all outbound requisitions on the damaged goods account automatically, you can set it as the default account for outbound requisitions from <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/requisitions\/journal_settings\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Requisitions Accounts Routing<\/strong><\/a>. But note that it will apply to all manual outbound requisitions, so it&#8217;s better to choose it in each damaged goods requisition.<\/p>\n<\/div>\n<h2 id=\"writeoff\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Method 1: Writing off damaged goods directly from inventory<\/h2>\n<ol style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Open a new <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/requisitions\/add\/2\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Outbound Requisition<\/strong><\/a>, or from the product page click <strong style=\"color: #111827;\">Add Transaction<\/strong>, then <strong style=\"color: #111827;\">Deduct Transaction<\/strong>.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Choose the warehouse that has the damaged goods in the <strong style=\"color: #111827;\">From<\/strong> field (it appears when you have more than one warehouse).<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Set the date.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">In <strong style=\"color: #111827;\">Journal Account<\/strong>, choose the <strong style=\"color: #111827;\">Damaged Goods Losses<\/strong> account.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">In <strong style=\"color: #111827;\">Notes<\/strong>, write the reason for the damage (such as: broken during transport, expired), and attach photos or a disposal report if there is one.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Add the damaged products and their quantities. The unit price shows the average cost by default, with the <strong style=\"color: #111827;\">Stock On Hand<\/strong> and <strong style=\"color: #111827;\">New Stock On Hand<\/strong>.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Click <strong style=\"color: #111827;\">Save<\/strong>.<\/li>\n<\/ol>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">The requisition is saved with the <strong style=\"color: #111827;\">Accepted<\/strong> status, so the quantity is deducted from the warehouse and the journal entry is created. Example: 10 damaged units with a unit cost of 20:<\/p>\n<table style=\"width: 100%; border-collapse: collapse; margin: 0 0 18px;\">\n<tbody>\n<tr>\n<th style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; background: #f6f8fb; font-weight: bold;\">Account<\/th>\n<th style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; background: #f6f8fb; font-weight: bold;\">Debit<\/th>\n<th style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; background: #f6f8fb; font-weight: bold;\">Credit<\/th>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">Damaged Goods Losses<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">200.00<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><\/td>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">Inventory (warehouse account)<\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\">200.00<\/td>\n<\/tr>\n<tr>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><strong style=\"color: #111827;\">Total<\/strong><\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><strong style=\"color: #111827;\">200.00<\/strong><\/td>\n<td style=\"border: 1px solid #e5e7eb; padding: 10px 12px; text-align: left; vertical-align: top;\"><strong style=\"color: #111827;\">200.00<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<div style=\"display: flex; gap: 10px; background: #f6f8fb; border-left: 4px solid #1a56db; border-radius: 6px; padding: 14px 16px; margin: 0 0 18px;\">\n<p><span style=\"flex: 0 0 auto; font-size: 18px; line-height: 1.6;\">\ud83d\udec8<\/span><\/p>\n<p style=\"margin: 0; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Note:<\/strong> If you don&#8217;t choose an account in the requisition, the amount is recorded on the default account for outbound requisitions, otherwise on <strong style=\"color: #111827;\">Other Debit<\/strong>. To choose a different account for each item, turn on account assignment for requisitions in the accounting settings.<\/p>\n<\/div>\n<h2 id=\"transfer\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Method 2: Transferring damaged goods to a damaged goods warehouse<\/h2>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Suitable if you want to isolate the damaged goods and know their quantities at any time, before disposing of or selling them:<\/p>\n<ol style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Open a new <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/requisitions\/add\/8\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Transfer Requisition<\/strong><\/a>, or from the product page click <strong style=\"color: #111827;\">Transfer Stock<\/strong>.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">In <strong style=\"color: #111827;\">From<\/strong>, choose the original warehouse, and in <strong style=\"color: #111827;\">To<\/strong>, choose the <strong style=\"color: #111827;\">Damaged Goods Warehouse<\/strong>.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Add the damaged products and their quantities, and write the reason in the notes.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Click <strong style=\"color: #111827;\">Save<\/strong>.<\/li>\n<\/ol>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">The quantity moves to the damaged goods warehouse without changing the total inventory value; the journal entry is: debit the damaged goods warehouse account, and credit the original warehouse account. When you dispose of the damaged goods for good, make an <a style=\"color: #1a56db;\" href=\"#writeoff\"><strong style=\"color: #1a56db;\">Outbound Requisition<\/strong><\/a> from the damaged goods warehouse on the losses account.<\/p>\n<div style=\"display: flex; gap: 10px; background: #f6f8fb; border-left: 4px solid #1a56db; border-radius: 6px; padding: 14px 16px; margin: 0 0 18px;\">\n<p><span style=\"flex: 0 0 auto; font-size: 18px; line-height: 1.6;\">\ud83d\udec8<\/span><\/p>\n<p style=\"margin: 0; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Note:<\/strong> Don&#8217;t sell from the damaged goods warehouse by mistake: make sure users&#8217; default warehouse isn&#8217;t the damaged goods warehouse, and check the warehouse permissions for who is allowed to sell from it.<\/p>\n<\/div>\n<h2 id=\"manual\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Method 3: When requisitions aren&#8217;t enabled<\/h2>\n<ol style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Open the <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/products\/index\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">product<\/strong><\/a>, and click <strong style=\"color: #111827;\">Add Transaction<\/strong>.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">On the <strong style=\"color: #111827;\">Add Stock Transaction<\/strong> page, choose <strong style=\"color: #111827;\">Detract<\/strong> and enter the damaged quantity.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Set the <strong style=\"color: #111827;\">Movement Date<\/strong> and the warehouse.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">In <strong style=\"color: #111827;\">Transaction Type<\/strong>, choose or type <strong style=\"color: #111827;\">Damaged<\/strong>, so you can filter damaged goods movements later.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Choose the <strong style=\"color: #111827;\">Journal Account<\/strong> (the damaged goods losses account), and write the reason in the notes.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Click <strong style=\"color: #111827;\">Save<\/strong>.<\/li>\n<\/ol>\n<div style=\"display: flex; gap: 10px; background: #f6f8fb; border-left: 4px solid #1a56db; border-radius: 6px; padding: 14px 16px; margin: 0 0 18px;\">\n<p><span style=\"flex: 0 0 auto; font-size: 18px; line-height: 1.6;\">\ud83d\udec8<\/span><\/p>\n<p style=\"margin: 0; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Note:<\/strong> This method is only available for products tracked by quantity. For products tracked by serial numbers, lots or expiry date, use requisitions.<\/p>\n<\/div>\n<h2 id=\"stocktaking\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Finding damaged goods during stocktaking<\/h2>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">If you find damaged goods during a <strong style=\"color: #111827;\">Stocktaking Sheet<\/strong>, enter the actual sound quantity; the difference appears as a <strong style=\"color: #111827;\">Shortage<\/strong>, and a <strong style=\"color: #111827;\">Stocktaking Outbound<\/strong> is created to deduct the quantity. Its value is charged by default to <strong style=\"color: #111827;\">Sales Cost<\/strong>, and you can change the account from <a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/requisitions\/journal_settings\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Requisitions Accounts Routing<\/strong><\/a>. It&#8217;s better to record known damaged goods with a separate outbound requisition before the stocktaking, so they appear separately from the shortage.<\/p>\n<h2 id=\"sell\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Selling damaged goods (scrap)<\/h2>\n<ul style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Create a regular sales invoice, and choose the <strong style=\"color: #111827;\">Damaged Goods Warehouse<\/strong> in the shipping tab (or for each item).<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">If the scrap is sold as a different item (such as: scrap iron by the kilogram), add it as a separate product, and enter its quantities with an <strong style=\"color: #111827;\">Inbound Requisition<\/strong>.<\/li>\n<\/ul>\n<h2 id=\"mfg\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Scrap items in manufacturing<\/h2>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">In the manufacturing app, you can record scrap resulting from production in the <strong style=\"color: #111827;\">Scrap Items<\/strong> section of the <strong style=\"color: #111827;\">Bill of Materials<\/strong> and the <strong style=\"color: #111827;\">Manufacturing Order<\/strong>:<\/p>\n<ul style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">For each scrap item, add: the product, the quantity, the unit, the price, and the production operation.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">The <strong style=\"color: #111827;\">Scraps total cost<\/strong> is deducted from the manufacturing order cost, so the finished product&#8217;s cost decreases by the scrap value.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">When you finish the manufacturing order, choose the <strong style=\"color: #111827;\">Main Product Warehouse<\/strong> and the <strong style=\"color: #111827;\">Scrap Items Warehouse<\/strong> that the scrap quantities are added to.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\">An inbound requisition for the scrap is created in the chosen warehouse: debit the scrap warehouse account, and credit the manufacturing order account. It can&#8217;t be edited or deleted after the order is finished.<\/li>\n<\/ul>\n<h2 id=\"reports\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">Tracking damaged goods quantities<\/h2>\n<ul style=\"margin: 0 0 16px; padding-left: 26px;\">\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Damaged goods warehouse balance<\/strong>: if you use a warehouse for damaged goods, its balance is the current damaged quantity.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\"><a style=\"color: #1a56db;\" href=\"https:\/\/go.daftra.com\/owner\/requisitions\/index\" target=\"_blank\" rel=\"noopener\"><strong style=\"color: #1a56db;\">Requisitions<\/strong><\/a>: filter by warehouse or product to view damaged goods requisitions; each requisition&#8217;s account is shown.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Stock Transactions<\/strong> on the product page or in the stock transactions report: filter by warehouse, or by <strong style=\"color: #111827;\">Transaction Category<\/strong> (Damaged) for manual movements.<\/li>\n<li style=\"margin-bottom: 10px; line-height: 1.9; font-size: 16px; color: #1f2430;\"><strong style=\"color: #111827;\">Chart of Accounts<\/strong>: the balance of the damaged goods losses account shows the total value of damaged goods.<\/li>\n<\/ul>\n<h2 id=\"faq\" style=\"font-size: 22px; font-weight: bold; color: #111827; margin: 32px 0 14px; padding-bottom: 8px; border-bottom: 2px solid #eef0f3;\">FAQs<\/h2>\n<h3 style=\"font-size: 18px; font-weight: bold; color: #111827; margin: 24px 0 10px;\">How do I add a damaged item?<\/h3>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">There&#8217;s no &#8220;damaged item&#8221; type; record the damaged quantity with an <a style=\"color: #1a56db;\" href=\"#writeoff\"><strong style=\"color: #1a56db;\">Outbound Requisition<\/strong><\/a> on the damaged goods losses account, or transfer it to the <a style=\"color: #1a56db;\" href=\"#transfer\"><strong style=\"color: #1a56db;\">damaged goods warehouse<\/strong><\/a> to track it.<\/p>\n<h3 style=\"font-size: 18px; font-weight: bold; color: #111827; margin: 24px 0 10px;\">Why were damaged goods recorded on Other Debit?<\/h3>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">Because you didn&#8217;t choose an account in the requisition. Edit the requisition and choose the damaged goods losses account in <strong style=\"color: #111827;\">Journal Account<\/strong>.<\/p>\n<h3 style=\"font-size: 18px; font-weight: bold; color: #111827; margin: 24px 0 10px;\">Can I write the reason for the damage?<\/h3>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">There&#8217;s no dedicated field for the reason in the requisition; write it in <strong style=\"color: #111827;\">Notes<\/strong>. In the manual transaction, use <strong style=\"color: #111827;\">Transaction Category<\/strong>.<\/p>\n<h3 style=\"font-size: 18px; font-weight: bold; color: #111827; margin: 24px 0 10px;\">At what price are damaged goods calculated?<\/h3>\n<p style=\"margin: 0 0 14px; line-height: 1.9; font-size: 16px; color: #1f2430;\">At the product&#8217;s average cost at the time of the deduction, by default.<\/p>\n<\/div>\n","protected":false},"author":39,"featured_media":0,"template":"","categories":[2182,2177,2184],"tags":[24261,24265,24264,24262,24269,24270,24271,24266,24268,24267,24272,24263],"class_list":["post-151251","tutorial","type-tutorial","status-publish","hentry","category-requisitions","category-inventory","category-products-services","tag-damaged-goods","tag-damaged-goods-losses-account","tag-damaged-goods-warehouse","tag-damaged-items","tag-expired-products","tag-how-to-record-damaged-goods-in-inventory","tag-how-to-track-damaged-goods-quantities","tag-inventory-scrap","tag-outbound-requisition-for-damaged-goods","tag-scrap-items-in-manufacturing","tag-why-were-damaged-goods-recorded-on-other-debit","tag-write-off-damaged-inventory"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v17.8 - 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