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How do I process a Year End Stock Take?

Created on  | Last modified on  Highlight Matches

Summary

How to process your final year end stock take in Sage Accounting

Description

The second step in the year end procedure is to process stock adjustments.

If the Item Valuation report does not correspond or balance to the actual quantities of stock that is available on hand or on the shelves, then a stock or item adjustment must be performed.

You should also use this as an opportunity to confirm that your average costs are reasonable for each of your items.

You can do this by comparing your average cost on your Item Valuation Report to the unit price that appears on the Purchase by Item Report.

When you process the item adjustments, this will be based on the Item Valuation report and you will have to go through each and every item that you do not agree with and perform the adjustments accordingly.

Resolution

Read the below instructions or alternatively watch the step by step video below.

Once you perform the year end and go into the new financial year, you will then have the correct quantities.

Below are the steps to follow in order to achieve this

  • Click on Items… transactions… Item Adjustments menu.
  • The following screen will be displayed:

Image

Select which option you want to use to adjust items by selecting either the Quantity on Hand and/or Average Cost or by a Quick Entry Grid option.

Click on the Next button to continue.

 

Quantity on Hand and/or Average Cost option

The following screen will be displayed:

Image

  • From the Item drop down menu, select the item you want to adjust.
  • Enter a reason for the adjustment in the Reason field (This is compulsory).
  • The current average cost of the item will be displayed in the Current Average Cost field.
  • Enter the new average cost in the New Average Cost field.
  • The current quantity on hand will be displayed in the Current Quantity on Hand field.
  • Enter the new quantity on hand in the New Quantity on Hand field.
  • Select the date of the adjustment in the Adjustment Date calendar look up menu.
  • Click on the Next button to continue.

 

Quick Entry Grid option (recommended)

When you select the Quick Entry grid option, the following screen is displayed:

Image

  • Select the date of the adjustment in the Adjustment Date calendar look up menu.
  • Enter a reason for the adjustment in the Reason field (This is compulsory).
  • Click on the Load All button to load all items.
  • Enter the new average cost in the New Average Cost field.
  • Enter the new quantity in the New Quantity on Hand field.
  • Click on the Save button to save the item adjustment.

Note: Item adjustments cannot be edited or deleted. 

To correct an item adjustment you will need to process another item adjustment on the same date.