What is my Inventory / stock value?

  • What is my Inventory / stock value?

    Posted by DSC Communities on December 21, 2016 at 7:45 am
    • Chris Nichols

      Member

      December 21, 2016 at 7:45 AM

      Hi all

      when I run the inventory valuation report – I have ticked include expected costs so what is my total stock number (I believe this should tie to the GL??)

      Is this correct?

      ——————————
      Chris Nichols
      Dynamics Consultant
      Vow Europe Limited
      Cambridge
      ——————————

    • Cynthia Priebe

      Member

      December 21, 2016 at 9:38 AM

      Chris,

      The Inventory Valuation Report shows the value of the on-hand quantity of each inventory item. This report calculates the value using the selected costing method and the quantity on hand, regardless of whether the quantity has been invoiced.

      If your intent is to get inventory valuation and tie values to the G/L, you probably want to use the Inventory to G/L Reconcile. This report reconciles the inventory printed in the Inventory Valuation report to the amounts posted to the general ledger in the balance sheet inventory accounts. 

      These amounts can be different because uninvoiced purchase and sales orders with items that have been received or shipped will appear in the Inventory Valuation report but will not be posted to the general ledger. These amounts can also be different because of not running periodic activities in a timely manner. This report detects and reports on all these differences. 

      In addition, whether your inventory value in the G/L includes expected cost, well, that is dependent on how you have “Expected Cost Posting to G/L” set in Inventory Setup. This field determines if the program posts expected costs to interim accounts in the general ledger allowing for an estimate of the cost of received items before receiving the purchase invoice.

      If you place a check mark in this field, and there are already expected cost value postings, the program posts these expected-cost value entries to the general ledger the next time you run the Post Inventory Cost to G/L batch job.

      Expected costs are posted to interim accounts in the general ledger. If you want to post expected costs, you must set up interim accounts for the relevant posting groups.

      Hope you find this information helpful,

      ——————————
      Cynthia Priebe, MCTS, DCP
      Senior Business Analyst and Project Manager
      Liberty Grove Software
      Grafton OH
      ————————————————————————-

    • Chris Nichols

      Member

      December 22, 2016 at 10:09 AM

      HI Cynthia / Kim

      Thanks for the reply both of which are very helpful indeed.

      The report Inventory to G/L Reconcile report is this known by any other name in NAV 2015 or is this available in earlier versions of NAV?

      Thanks

      Chris

      ——————————
      Chris Nichols
      Dynamics Consultant
      Vow Europe Limited
      Cambridge
      ————————————————————————-

    • Cynthia Priebe

      Member

      December 22, 2016 at 10:17 AM

      This report is available in older versions, at least back to US3.70 and always by this name. 

      If you are looking in 2009 or similar version of the UI with Navigation Pane, it can be found in Financial Management, Inventory, Reports. Not sure where you would find it under the old menu based UI.

      ——————————
      Cynthia Priebe, MCTS, DCP
      Senior Business Analyst and Project Manager
      Liberty Grove Software
      Grafton OH
      ————————————————————————-

    • Kim Dallefeld

      Member

      December 21, 2016 at 11:18 AM

      Just to add to the previous awesome post….the Inventory Valuation Report’s values are the first column on the Inventory to GL Reconcile.

      The column Inv. Posted to GL should always balance to your general ledger. This does assume that you have the ‘direct posting’ flag on your inventory accounts in the general ledger turned off or unchecked so that accruals and adjustments are not being posted to these accounts.

      You might see vales in the Pending Adjustments column(s) if you have not run Adjust Cost – Item Entries.  There is the misconception that if you turn on Automatic Cost Posting that you don’t need to run the Adjust Cost routine. However, if your costing method is LIFO or FIFO or you are using production orders, as examples, the adjust cost is necessary. It should be run at a minimum once per month. Your circumstances could be different and thus affect the adjust cost requirement differently.

      Good Luck.

      ——————————
      Kim Dallefeld
      NAV Consultant
      Ft Worth, TX
      Kim@Dallefeld.com
      ————————————————————————-

    • Andrew Rutledge

      Member

      December 22, 2016 at 9:33 AM

      Hey Kim,

      We use average costing and try and close Production orders and update the unit cost as soon as work is completed for our items.

      Does the Adjust Cost function still need to happen? I’m unsure of what this actually does in the system…

      ——————————
      Andrew Rutledge
      Marine Ingredients
      Mount Bethel PA
      ————————————————————————-

    • Dave Cintron

      Member

      December 23, 2016 at 11:38 AM

      Andrew,

      The adjust costs process should always be run by everyone. It forwards the cost of supply to demand after the fact. In a production environment it ensure the cost of components is forwarded to the finished good, if those components are invoiced or otherwise cost adjusted after consumption. The same goes for forwarding the cost of purchases to cost of sales (goods sold).

      ——————————
      Dave Cintron
      Dynamics West
      Ventura CA
      ————————————————————————-

    • Don Saito

      Member

      December 26, 2016 at 3:04 PM

      To add to what Dave stated – if you don’t run adjust costs – item entries, your inventory and cogs will not be correct.  The way NAV inventory costing is designed, you must run this process regardless of your costing method.   We usually recommend running this automatically on the Job Queue on a daily basis.  The more often it is run, the faster it will run generally. 

      ——————————
      Don Saito
      ERP Efficiency Experts, LLC
      West Hills CA
      don@erpefficiency.com
      http://www.erpefficiency.com
      ————————————————————————-

    DSC Communities replied 7 years, 9 months ago 1 Member · 0 Replies
  • 0 Replies

Sorry, there were no replies found.

The discussion ‘What is my Inventory / stock value?’ is closed to new replies.

Start of Discussion
0 of 0 replies June 2018
Now

Welcome to our new site!

Here you will find a wealth of information created for people  that are on a mission to redefine business models with cloud techinologies, AI, automation, low code / no code applications, data, security & more to compete in the Acceleration Economy!