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What is a Item Journal in Business Central?

The Item Journal is the Business Central page used to post inventory quantity and cost changes that do not come from a purchase, sales or production document.

The Item Journal records direct inventory movements: positive adjustments, negative adjustments, and quantity postings that have no source document. Every posted line creates an item ledger entry and at least one value entry, so both the quantity on hand and the inventory value are updated; those values reach the general ledger through automatic cost posting, or when you run Post Inventory Cost to G/L. It is the standard tool for opening balances, scrap, samples and corrections.

Open it with Alt+Q, search for Item Journals and choose a batch. A line typically needs Posting Date, Entry Type, Item No., Location Code, Quantity and, for positive adjustments, a unit cost. Moving quantity between locations or bins is done in the Item Reclassification Journal instead, not here.

On 30 June 2026 a stock check finds 3 damaged bearings of item BRG-1000 at location BLUE. You enter a line with Entry Type Negative Adjmt., Quantity 3, Location Code BLUE, a reason code such as DAMAGE, and post. Inventory falls from 240 to 237 pieces and, at a unit cost of CHF 12.40, an inventory decrease of CHF 37.20 is recorded.

Typical errors: a posting date outside the allowed posting date range, which blocks posting; missing item tracking lines when the item uses lots or serial numbers, which stops the posting with an error about tracking; and using Entry Type Purchase in the journal instead of a purchase invoice, which creates inventory but no vendor ledger entry, so nothing is payable. A wrong unit cost on a positive adjustment quietly distorts the average cost of the item.

Use Preview Posting before posting a large batch to see exactly which item and general ledger entries will be created, and set reason codes so adjustments can be explained during an audit. After large adjustments, run Adjust Cost Item Entries so that costs flow through to related outbound entries.

Frequently asked questions

What is the difference between the Item Journal and the Item Reclassification Journal?

The Item Journal changes the quantity or value in inventory. The Item Reclassification Journal keeps the quantity unchanged and moves it to another location, bin, dimension or tracking number.

How do I enter opening inventory in Business Central?

Use an Item Journal batch with Entry Type Positive Adjmt., one line per item and location, with the quantity and the correct unit cost. Post it on the opening date you agreed with your accountant.

Related terms

  • Item Ledger Entry, An item ledger entry is the record Business Central creates for each posted quantity movement of an item: receipts, shipments, transfers and adjustments.
  • Value Entry, A value entry carries the amount of an inventory movement: expected cost, actual cost, adjustments, item charges and revaluations, linked to an item ledger entry.
  • Physical Inventory Journal, The Physical Inventory Journal is where you compare the quantity counted in the warehouse with the quantity Business Central calculated, then post the difference.
  • Adjust Cost - Item Entries, Adjust Cost - Item Entries is the Business Central batch job that carries later cost changes through to related item entries so inventory value is correct.
  • Posting Date, The date that decides which accounting period a Business Central transaction lands in, distinct from the document date and the VAT date.

How Zentriq helps

Zentriq's AI tools automate many of the manual processes around item journal in Business Central. Learn about the Zentriq Agent or try Zentriq PunchOut to see how AI simplifies procurement in BC.

Related resources

GlossaryItem Ledger EntryGlossaryValue EntryHow-toHow to Set Up Item References (Cross-References) in Business CentralHow-toHow to Pay Vendors with the Payment Journal in Business Central