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- Inventory Valuation System
- Who it's for
- Wholesale distribution
Wholesale distribution
A distributor receives goods from suppliers, moves stock between warehouses and ships from owned positions. Finance needs each acceptance, transit remainder and count adjustment to carry an explainable value.
How Inventory Valuation System is set up for you
Accept actual arrivals
Keep the supplier commitment, arrived quantity and each accepted tranche distinct.
Carry source cost
Follow an accepted layer through reservation, transfer and destination custody.
Reconcile receipt accruals
Accountant compares accepted stock value with the matched supplier bill and close task.
A distributor receives goods from suppliers, moves stock between warehouses and ships from owned positions. Finance needs each acceptance, transit remainder and count adjustment to carry an explainable value.
Receive a partial supplier delivery and accept only the usable tranche. Follow its layer through a warehouse transfer. At the destination, compare actual receipt with the transit remainder and reconcile the signed movements.
Begin with one entity, an active product and one warehouse or work order. Set the relevant cost version and policy thresholds. Ask Warehouse Operator to record actual events and Accountant to show the value bridge. A Finance Manager can then inspect the exception decision and the close task evidence. Expand the operating scope after this first cycle reconciles.
The useful question is whether a person can follow a specific quantity from its original evidence to its current position and carrying amount. If stock is held, picked, in transit or in production, the status should explain why it is outside ordinary available quantity. A later correction should have its own source and approval, preserving the earlier posted event.
Features to start with
Assembly costing
A work order connects the released assembly plan to actual material and output cost.
Valuation and close
Accountant reconciles current source balances before a period closes.
Cost foundations
The first valuation decision is which entity owns the goods and which product standard applies on the transaction date.
Roles on the team
- Accountant
- Prepares local bills, invoices, journals, reconciliations and guarded settlement allocations.
- Warehouse Operator
- Records assigned receipt, movement, production and delivery facts within entity and warehouse scope.
- Purchasing Manager
- Prepares supplier purchasing and resolves commercial supply issues.
- Finance Manager
- Independently controls each entity's credit, valuation, payment and period decisions.
- Warehouse Manager
- Controls stock execution, delivery plans and distribution production.
Set up Inventory Valuation System your way.
Start free, then use Proto to change fields, steps and approvals before your team goes live.