Need help with Physical inventory with projects

 I need help asap.  One of our sites implemented projects.  We were told by the consultant that when items are in the subinventory/locator, we do not have to tag what project the items belong to.  He also told me that when you fill out your physical inventory tag, that you just put the total quantity and you will
only have to worry about what project to adjust to /from if there is an adjustment.

After doing some testing, this does not appear to be true.  It looks to me like we need to know for each piece of material which project it belongs to.