End of year inventory value entry

Question:

Using QB Pro 2010.  I operate a franchise retail store and use a franchise proprietary POS program to track inventory at the stores.  The Items and Inventory feature doesn’t seem to be appropriate in my case.  I take a physical inventory at the end of the year, which gives me the total cost of my inventory.  What accounts do I use to enter the difference between the previous inventory cost and this one using General Journal entries?

Answer:

Normally, you will COGS account. If you like to see separate visible account for this one-time entry, you will create new like “Year-End Inventory Adjustment” account under Cost of Goods Sold.