There are several ways to correctly account for damaged, wasted, expired, spoiled, stolen, or otherwise "lost" inventory.
Each industry will have a different preferred term, but no matter what you call them, we have a few different ways of handling them.
Option 1 - Using Stocktakes
Stocktakes are a great tool that can be used to reconcile and get your inventory up to date.
We suggest creating a custom Reason by clicking 'New' next to 'Reason' and naming it accordingly as a loss for your records! Examples of new Reasons could be "Expired Goods," "Spoilage," or "Theft," so you can accurately keep tabs.
Option 2 - The Manual Adjustment
You also have the option to edit the quantities (via Actions -> Edit on the inventory page) and add a note explaining the loss.
This method will track the losses directly on the Inventory Change Report (check the "Removed" column).
Option 3 - The Discount
To track loss as part of your sales, we recommend running the products through the POS as a "sale" with a 100% discount.
This approach tracks the losses in your Discount Report and the inventory is accurately decremented.