Inventory Stocktakes
Overview
Inventory stocktakes are used to adjust inventory quantities and values based on physical counts. They help maintain accurate inventory records by reconciling system quantities and values with actual physical stock.
Stocktakes (also known as physical inventory counts or stock reconciliations) are an essential inventory management practice that ensures the accuracy of inventory records. By regularly comparing actual physical counts with system quantities, businesses can identify and correct discrepancies caused by waste, damage, administrative errors, or other factors. Proper stocktaking is critical for financial reporting, operational efficiency, and inventory control.
Fields of the Inventory Stocktake Form Explained
- Inventory Store: The inventory store that is being counted. This is a required field.
- Stocktake Date: The date when the stocktake is being conducted. This is a required field.
- Description: A brief description of the stocktake for reference purposes. It will show up on the printed document of the stocktake. This is an optional field.
- Revenue Account: The revenue account that will be credited for the stocktake if there is any surplus in stock. This is a required field.
- Expense Account: The expense account that will be debited for the stocktake if there is any shortage in stock. This is a required field.
- Products: A list of products that the stocktake is being conducted for. Atleast one product is required to be selected. Each product has the following fields:
- Product: The product that is being counted. This is a required field.
- Current Quantity: The current quantity of the product that is being counted. This is automatically populated by the system based on the inventory store's current quantity of the product.
- Actual Quantity: The actual quantity of the product that is being counted. This is a required field.
- Quantity Variance: The difference between the current quantity and the actual quantity. This is automatically calculated by the system when the actual quantity is entered.
- Current Inventory Value: The current inventory value of the product, this is the total value of the product in the inventory store. This is automatically populated by the system based on the currently selected store and product.
- Variance Average Price: The average unit cost of the product that is being counted. This is populated by default based on the currently selected store and product. The default will apply the average cost of the product in the inventory store if it is non-negative, otherwise it will apply the default purchase price of the product. It can be modified if needed if the variance is surplus, but cannot be modified if the variance is shortage.
- Variance Total Value: The total value of the variance. This is automatically calculated by the system based on the variance average price and the quantity variance.
- Transaction Note: This is a text field to add any notes or description about the stocktake. This is optional and purely for reference purposes. It does not show up on the printed stocktake, only shows up on the general ledger and account statements of the related transactions.
Inventory Stocktake Other Properties
- Reference: Automatically generated by Mezan based on your organization's counters settings. It is only generated after the stocktake is confirmed for the first time. It is a unique identifier for the stocktake in the organization.
- Confirmation Status: This is used to track the status of the stocktake. It can be "Draft" or "Confirmed". This is a common approach across all transactions in Mezan. Confirmed state can influence if it shows up in reports by default or not, as reports can be filtered based on the confirmation status.
- Organization Member: This is the organization team member who created the stocktake. It is automatically populated by the system based on the user who created the stocktake. It is useful in reporting, permissions, and audit purposes.
- Store Account: The account that will be credited for the stocktake if there is any surplus in stock. This is automatically populated by the system based on the inventory store's account settings.