Which feature in QBO should we use to issue replacement spare parts (inventory) under a warranty plan (i.e. no revenue, only the costs go to COGS) ? Thank you.

Hi there, @naas-datacolor.

I've come to share a feature you can use to issue replacement spare parts in QuickBooks Online (QBO).

When recording a replacement for spare parts, you can utilize the Inventory Quantity Adjustment feature. This allows you to adjust an item's quantity without recording a purchase or sale, to match what you actually have in stock. To do so, you can follow the steps below:

1. Sign in to your QBO account.
2. Click the + New button, then select Inventory Qty Adjustment.
3. Enter the adjustment date.
4. Choose the appropriate account from the Inventory adjustment account drop-down.
5. Select the spare parts from the Product field.
6. Enter either a new quantity or a change in quantity.
7. Click Save and close once you're finished.

I'm adding this article for more guidance: Adjust inventory quantity on hand in QuickBooks Online.

Also, you can create a journal entry to record this, however, I recommend seeking help from your accountant to guide you on which accounts to use based on your recording practices.

You may also want to review your sales and inventory status in QBO. You can run the Sales by Product/Service Detail report. This will help you view all your sales transactions by product or service.

Please let me know how things go, @naas-datacolor. I'll be around to provide further assistance.