Home » Categories » Solutions by Business Process » Stock Control and Batch Tracking

Recalculate Cost Prices - Stock Control

Datafile Software

Recalculate Cost Prices - Stock Control

As you approach the period-end the pressure of transaction generation often means the entry of purchase information lags behind the entry of sales details. This doesn’t affect the quantities recorded for demand etc or the update of FIFO costs but it can affect the calculation for cost price where updating on an average basis.

When updating cost on an average basis (see Introduction for formula) the current physical quantity affects the cost value updated. If this has been down dated by a sales transaction that is processed at a later date but entered prior to the goods receipt then the physical quantity recorded by the computer is less than it actually was and therefore the calculated new average cost can be incorrect. This is usually only by pennies (if that) but when there are large swings in cost values it could be more.

This procedure, run after the period end, asks you to confirm that all transactions up to the period end date have now been entered and then processes the transactions in date order calculating and updating average cost as it goes.

This procedure also calculates a period end qty/cost value that allows you to re-run the stock valuation report as at when this process was last run.

On selection you are asked to confirm the date up to which transactions are to be recalculate for, if a period end has occurred since the procedure was last run you are then asked to confirm that all transactions up to that date have been entered.

After confirming these details the system then processes the transactions and offers to reprint the stock valuation report at the date entered.

Notes

Once the procedure has been run for the first time in any period then no transactions can be entered for a date prior to the start of the period.

The procedure can be run several times during the period as required.

When this option is enabled the Stock Valuation Report allows an extra parameter to ‘Report Valuation at S-Start of Period, L-Last Recalculation Run or C-Cost’.

Custom Fields
  • Release ID: Standard
Attachments Attachments
There are no attachments for this article.
Related Articles RSS Feed
Database Profiles - Batch Tracking
Viewed 1223 times since Wed, Jun 20, 2012
Delete Active Stock Records
Viewed 1471 times since Tue, Jun 12, 2012
Stock Checking Sheet - Stock Control
Viewed 1706 times since Mon, Jun 18, 2012
View System Status - Stock Control
Viewed 2186 times since Mon, Jun 18, 2012
Choosing the Right Company - Stock Control
Viewed 1520 times since Mon, Jun 18, 2012
Transaction Entry - Additional Options for User 1/2 Items
Viewed 1309 times since Fri, Nov 22, 2013
Entering Stock Transactions - Batch Tracking
Viewed 1384 times since Tue, Jun 19, 2012
Multiple Locations
Viewed 1413 times since Mon, Jun 18, 2012
Stock File ITEM Screen Design - Stock Control
Viewed 1251 times since Tue, Jun 19, 2012
Record Batch Transactions on Stock Transaction File
Viewed 1255 times since Wed, Jun 13, 2012