Inventory and WIP Value

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This screen allows you to determine the value of Inventory, JOB WIP and Assembly WIP at a specified date.  You should note the Inventory As At Valuation Style parameter setting in Item Rules screen as this will affect the results of the Inventory Valuation

Upon entry of the date you should click on the 'Print' button and select where you wish the results to be output

Entry and Display fields

Run Valuation as at: This is the date at which the value of your Inventory will be calculated.  It is prefilled with the system date but you can amend this by clicking on the drop-down calendar.

Buttons

Inventory Value: Print:This will print the Inventory Valuation report showing the stock quantity and value of Inventory Items at the entered date.

Job Order WIP: Print:This will print all the Job Orders and their WIP value at the specified date

Assembly Order WIP: Print:This will print all the Assembly Orders and their WIP value at the specified date

Cancel: This will close this panel without printing the Report

Overview:

This  describes the process of how Ostendo calculates retrospective Stock and WIP Balances for the ‘Inventory And WIP As At Valuation Report’

Pre: Requisites:

Items without Actual Costing turned on: (Financial History Basis)

This report runs two routines in order to determine the Cost and Qty of an item at a point in time.

Firstly the Warehouse Inventory Category Warehouse is evaluated. If none specified it will check for an Inventory Cost Centre against the Warehouse itself. If no Inventory Cost centre is found in the Warehouse, the Base Cost Centre mapping Stock cost centre is used.

To explain this further every DR to a stock cost centre is deducted and every CR to a stock cost centre is added to the current stock value for that item (site).

Items with Actual Costing turned on: (Financial History Basis)

The same methodology applies for retrospective reporting of Items where Actual Costing is turned on, however instead of using the current Average Cost to establish a starting position, Ostendo will sum up the individual inventory actual cost records in order to determine the current stock value.

Financial Inventory Costing Method Of Standard Cost - (Financial History Basis)

The same methodology applies for a database set to a Financial Inventory Costing method of Standard Cost (System Settings), however the initial starting point for establishing the current stock value uses the current Standard Cost of the Item (Site).

Example:

If specific warehouse costs are required, we recommend turning on Item Site Costing in order to achieve this.

Inventory: (Cost History Basis)

This style of valuation has been designed more for operational purposes rather than financial reconciliation. (This setting is in Inventory Rules – As At Valuation Style)

This report runs two routines in order to determine the Cost and Qty of an item at a point in time.

1stRoutine – Determine Cost retrospectively:

2ndRoutine – Determine Qty retrospectively:

Finally the report will take the calculated Qty and multiple it to the Average Cost found from the 1stroutine to determine the Total Stock Value at the point.

This report runs a routine in order to determine the retrospective WIP. This will assist when balancing the Ostendo sub ledger with the Accounting Systems GL.

Routine – Determine WIP retrospectively:

To explain this further every DR to a WIP cost centre is deducted and every CR to a WIP cost centre is added to the current WIP value for that Order.

Example: