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Finance | Project Operations, Human Resources, ...
Answered

Inventory value report has Inventory value with zero quantity

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Posted on by 296
My Inventory value report shows value but there is zero quantity. I noticed this after I ran the inventory recalculation. Please see below community thread for the recalculation issue I was facing.
 
 
 
Now I want to remove that values, Could you please guide me on how to do that?
 
Thanks in advance.
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I have the same question (4)
  • CA Neeraj Kumar Profile Picture
    5,099 Super User 2026 Season 1 on at
    Hi @Dixita,
     
    Please share the screenshot of parameters that you have used while running the report, and also confirm whether is there any other transactions as well for this item or just those 6 transactions as shown in given thread. As from those 6 transactions, 5 quantity will be still available at Site 001 and 15 Qty at Site 002.
     
    Regards,
    Neeraj Kumar
  • Suggested answer
    Syed Haris Shah Profile Picture
    1,572 Super User 2026 Season 1 on at
    Hi Dixita,
     
    It seems a purchase was financially updated at $2,475, but the corresponding issue was only physically updated. That leaves the financial value stuck until settlement.
     
    To resolve this, I suggest verifying that all receipts and issues are financially updated (not just physically updated). If any issues are still physical, complete the financial update. Run Inventory recalculation/close to settle costs and flush out any residual value.

    If the financial update was missing before recalculation/close, it is expected behavior in D365 F&SCM that you will see such records where the quantity is zero but the value remains.
     
    If you find this answer helpful, please consider verifying the answer. 👍
     
    Regards,
    Syed Haris Shah
  • André Arnaud de Calavon Profile Picture
    303,730 Super User 2026 Season 1 on at
    Hi Dixita,
     
    Can you share the settings you have on the item model group? Is the option Include physical value enabled?
  • CA Neeraj Kumar Profile Picture
    5,099 Super User 2026 Season 1 on at
    Hi @Andre, as per given thread link in question, we can see Item model group is not having the boolean ticked for "Include Physical Value".
     
    Regards, 
    Neeraj
  • Suggested answer
    Arvind Bharti Profile Picture
    789 Super User 2026 Season 1 on at
    Hi,
     
    One more thing which you can do is to run this report with detailed transaction level for this item and see which item causing this? 
  • Suggested answer
    CU10091050-1 Profile Picture
    2 on at
    Hello,
     
    If your Inventory Value report shows value with zero quantity after recalculation, it's likely due to unadjusted or leftover cost entries.
    To fix it:
    Run "Adjust Cost - Item Entries" again.
    If value still remains, use the Revaluation Journal to manually adjust the value to zero.
    For future prevention, check if "Inventory Value Zero" should be enabled on the item (for non-inventory costed items).
     
    Best Regard,
    Jimy
  • Dixita Profile Picture
    296 on at
    Hi All,
     
    I believe this happened due to my setup. I'm tracking financial costs at both the site and batch levels, so the system's first adjustment during the inventory recalculation—based on FIFO—was triggered by the transfer order receipt line which is first issue in In transit warehouse  and the first receipt which is receive in destination warehouse.
     
    During the inventory close process in Microsoft Dynamics 365 Supply Chain Management, the system creates settlements where the first receipt is matched against the first issue, and so on.
     
     
     
     
     
  • Suggested answer
    Syed Haris Shah Profile Picture
    1,572 Super User 2026 Season 1 on at
    Hi Dixita,
     
    Thanks for your clarification. Based on what you have shared, I understand that the transfer order was not fully received. Consequently, the system did not settle the financial cost amount, although the quantity was settled according to FIFO, as I explained in my previous comment.
     
    If you find this answer helpful, please consider verifying the answer. 👍
     
    Regards,
    Syed Haris Shah
  • CA Neeraj Kumar Profile Picture
    5,099 Super User 2026 Season 1 on at
    Hi @Dixita, 
     
    Please clarify for this question as well
     
    "Please share the screenshot of parameters that you have used while running the report, and also confirm whether is there any other transactions as well for this item or just those 6 transactions as shown in given thread. As from those 6 transactions, 5 quantity will be still available at Site 001 and 15 Qty at Site 002"
     
    Regards, 
    Neeraj
  • Verified answer
    Dixita Profile Picture
    296 on at
    My issue was on both the main warehouse and Transit warehouse there was a same Site.
     

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