The Inventory Valuation Report lists, by program and item, the value of the On Hand inventory.  This report can be used for Personal Property Taxes, depending on the location of the company, or for any other purpose where valuation of the inventory is required.

Report Setup

Program ID.  Enter the program ID of the program to print.  If the program ID is not known, enter "?" to display the Active Programs window.  Select the program by entering the sequence number to the left of the program ID.  To print all programs, press Spacebar.

Include Items with Value Only.  If only items with a value are to print, enter "Y".  If all items are to print regardless of value, enter "N".  Items with value would include all items with an On Hand value.

Valid Item Status Codes.  Enter the item status codes for the items to print.  This field will accept up to ten (10) item status codes.  If all status codes are to print, press Spacebar.

Include Discontinued Items.  If discontinued items are to print on the report, enter "Y".  If discontinued items are to be omitted from the report, enter "N".  If ONLY discontinued items are to print, enter "O".

Value by Cost or Sell Price.  If the valuation is to be based on the average cost of the items, enter "C".  If the valuation is to be based on selling price, enter the tier for the valuation calculation.  The tier is the quantity break associated price entered in Inventory Item Maintenance on the Item Component Detail Maintenance under Cat Price. The system will accept any tier, or column break, from one (1) through six (6).

The report prints the following information:

Item Number and Description. 

Average Cost.

Physical.  The physical column is comprised of the On Hand Quantity and the value of the On Hand quantity based on the valuation method requested.  The calculation is On hand quantity multiplied by the average cost.

BQOH.  The BQOH column is comprised of the BQOH quantity and the value of the BQOH quantity based on the valuation method requested.  The calculation is BQOH quantity multiplied by the average cost.  If the Valuation Method field is entered "C" for cost, the BQOH value should equal the General Ledger Inventory account for the program printed.

This report is useful in the valuation of On Hand inventory and BQOH inventory in between physical inventory counts.  The inventory manager can value the inventory while, at the same time, monitor the unbilled and un-vouched BQOH from open orders in the system.  If BQOH value and On Hand value are equal, all orders containing the item have been vouched and billed.

NOTE:  It is suggested that a departmentalized accounting system be set up to account for the different programs and inventories in the system.  This makes the reconciling of BQOH and the General Ledger much easier.  Partial Physical Inventory counts can then be conducted to reconcile to the General Ledger by program instead of having to conduct a physical inventory on the entire warehouse to reconcile to the General Ledger Inventory account.