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To adjust inventory for damaged items in QuickBooks Desktop and have it affect COGS and the Profit & Loss report, follow these steps:

Go to Vendors > Inventory Activities > Adjust Quantity/Value on Hand.
In the Inventory Adjustment window, select Cost of Goods Sold as the Adjustment Account.
Choose the damaged items, enter the quantity to adjust, and provide a note for clarity.
Save the adjustment.
This ensures the cost flows into COGS and shows up in your reports. For mobile-friendly inventory tracking, Cleverence Warehouse 15 integrates with QuickBooks to manage inventory adjustments seamlessly.

Learn more: Cleverence Warehouse 15
https://www.cleverence.com/solutions/quickbooks-warehouse-15/