We use SAGE 50 for tracking job costing.  With this, we do inventory adjustments for a high priced part as soon as we know we need it so we can see if we need to get some on order as they are a two month lead time part.  As we do this, this part, at times will end up showing that we are negative parts in inventory (this is how we decide how many to get on order).  Well, last month I pulled the job costing report since it was completed and shipped but this part showed as a negative cost.  While this part is normally a $900 cost it was showing that it cost a negative $120...

We have been doing the inventory on these parts this way for 4 years and this is the first time I have seen it come out like this so I don't believe it is due to how we do our inventory adjustments but I can't think of any other reason we would have skewed numbers like this.  We are FIFO so I looked back through the last several times we have purchased these and they have always cost between $700-$900.

I would love any input on how to keep this from happening...unfortunately our purchasing dept. really feels it is necessary to continue to do the inventory adjustments almost more-so when we are negative.