Stock value change

To ensure the value of stock at a site is accurate, you use this page to update the cost of individual items. You might need to do this if an incorrect cost was entered for a stock receipt, resulting in the average cost of the item being too high or too low, or if an item costed with FIFO costing is incorrectly costed in the FIFO tier and needs to be adjusted.

User type

Admin

Manager
Permissions Full rights: Admin, Manager, Employee
Prerequisites

Item

Stock receipt

Tip You need to select the specific tier to adjust if the item-site is costed at FIFO cost.
Restrictions The unit cost of items costed at standard cost is fixed. You cannot, therefore, adjust the cost or value of these items.

Create a stock value change

  1. To create a stock value change, select Create from the main view or the Create icon in the split view.

  2. You can leave the Number field blank to generate the next sequential stock value change number or enter your own stock value change reference.

    If you enter your own reference, it needs to be unique.

  3. Select the Site the item is stored at or managed from, then select the stock Item to change.
  4. Enter a Description or the reason for the stock value change.

Add the lines to be adjusted

The Valuation method displayed determines which fields are displayed in the Lines grid.

  1. From the Lines grid:

    1. Select Add if the Valuation method for the item-site record is Average unit cost.
    2. Select Add from FIFO stack if the Valuation method for the item-site record is FIFO cost. From the Add from FIFO stack window, select one or more items in the FIFO tier to adjust, then select Add.

  2. In the Lines grid, select either the *New unit cost field or the *New amount field. Enter the new figure then tab out of the field to set the new figure.

    You can change either the cost of a single item or the total value of the stock at the site. A change to one value updates the other value automatically. So if you change the cost of a single item for example, the total value of the stock at the site changes automatically.

Attributes and dimensions

Attributes and dimensions on the financial elements of the stock value change are used for managing business rules and for analysing and tracking the item costs using analytical accounting data.

You need to add attributes and dimensions if Required dimensions are defined on the company or on the account.
  • To add attributes and dimensions as default values for all new stock value change lines or for all existing and for all new stock value change lines: From the Lines grid, select Set default dimensions.
  • To add attributes and dimensions to track individual stock value changes analytically: Select the More actions icon for a line then select Dimensions.

  1. In the Dimensions window, enter or select the Project attribute name.

    If you do not want the change to the item costs to be included when project costs are analysed, leave blank.

  2. Enter or select the Department dimension name.

    If you do not want the change to the item costs to be included when aggregating financial information by department, leave blank.

  3. Enter or select the Channel dimension name.

    If you do not want the change to the item costs to be included when aggregating revenue by geographic area or by business type, for example, leave blank.

Manage dimensions

Stock value change lines can inherit dimensions and attributes from the site or item. For this, dimensions and attributes need to be set on the site record, item record, or both, and default dimension rules need to be set on the company record, on the Dimensions tab. When you create a stock value change, the dimensions default on the lines from those defined for the site, item, or both.

If default dimension rules are not set for the company, you can add dimensions directly on the stock value change lines. You can add and change dimensions on each line individually. Or, when you create the stock value change you can add the dimensions for all lines and then change them individually later if required.

To manage dimensions for individual lines:

  1. From the More actions icon on the line, select Dimensions.
  2. Select the dimensions you want for the line.
  3. Save.

To manage dimensions for all lines:

  1. From the More actions icon on the record, select Set dimensions.
  2. Select the necessary dimensions.
  3. Select Apply to all lines to apply the dimensions to all the existing and future lines or Apply to new lines only to apply the dimensions to future lines only.

 

When you change an item-site cost for a standard cost item, the dimensions default to those defined on the company tab associated to the site of the stock value change.
You can only set dimensions for all lines of a stock value change when you initially create it and before you save the document.
The Dimensions dialog box at record level displays the dimensions set for the site, if any, and if default dimension rules are set for the company. You can use this dialog box to apply dimensions to all lines, but changes are not saved in this dialog box. The dimensions on the lines, not the ones in this dialog box, are transferred to the subsequent document lines. A dimension from an item is inherited when the item is added to a line, not from the dimensions set at the record level.
Dimensions apply to lines that are Draft.

Finalise and post

  1. Select Save.
  2. Check the figures in the Lines grid. If you need to change them, select either the *New unit cost field or the *New amount field and adjust the figure.
  3. You need to add attributes and dimensions if a warning is displayed because Required dimensions are defined on the company or on the account. Either the attributes and dimensions for a stock value change line are missing or you have assigned incorrect attributes or dimensions to the line.

  4. Select Post stock.

    A journal entry is created for the stock value changes to ensure accuracy between stock values and your financial solution.

    If an error displays, the posting failed to register your new values. This might be because the old values in the FIFO tier or the old average cost values do not match the expected figures in this change record. This could be because the stock was used or the value was changed before you saved your stock value change record. You need to edit your new unit cost or amount figures and post the stock value change record again.

When you successfully post the stock value change, the Posting tab displays, where you can navigate to the associated journal entry record and monitor the posting status of the stock value change.