I am new user of Quickbooks and not at all accounting savy.  I am going to try and elaborate on the situation.  In my chart of accounts I have:  Inv Asset - Other current asset; Sales - Income; Cost of Goods Sold - COGS; Inventory Adjustment - COGS.  I have been entering my bills in QB and applying the inventory to COGS-COGS account.  I realize now this is very wrong as the COGS account type is really an expense.   When I view my Chart Of Accounts there is not Value$ for any of these 4 account types.   
On my P&L the Sales-Income is listed as well as the COGS (which is really all my inventory purchases for resale).  The difference leaving the GP.  At no point does the P&L or Balance sheet note the value of the inventory assets that were not sold and remain on hand to be sold.  Also, throughout the month I have to write off inventories due to damage or shrink.  I would appreciate help in understanding how to enter this transaction so it is applied to the inventory asset account........So lets assume that:  $20,000 Sales-Income   -  $18,000-Purchases  -  $2000-GP  $1000-Inventory Value   and  $1000 for Inv Adjustment.   
I use QB POS to record purchases and track inventory value.  I am not using QB financial software to list the inventory items purchased.  I just enter the bills in that software Can anyone tell me how to record accurately?  I am sure once I get this the first time I will be able to grasp for future.   HELP APPRECIATED.