The Inventory/Stock Account Balance is not matching the Stock Valuation report
Undertake the following steps to reproduce the issue:
- Go to Financials, Inquiries, Account balances.
- Enter the company/site, Date range and click Search.
- Locate the Inventory account number for FG or Raw Materials.
- Right click and select Account. Note the value in the Accounting Balance field.
- Go to Stock, Periodic processing, Stock Valuation Report.
- Enter Today’s date, company, and site. Make sure to tick Site and Category under Subtotals.
- Select the Costing mode (same as Valuation method) used for all FG (or Raw Materials) and run it.
- The totals for the FG category (or Raw Materials) does not match the Accounting Balance value
- This is because the Stock valuation report only presents the value of inventory based on the Valuation method selected, Costing mode.
- However, there might be stock transactions movements valuated at a different valuation method according to the Stock Valuation method setup under Setup, Stock, Valuation methods.
For example, if the option Order price is selected for the Receipt Valuation method, all Purchase receipts will increase the Stock/Inventory account at the price entered in the Purchase Order. However, if the Valuation method is Standard, when this same item is entered in a Sales delivery, the Stock/Inventory account will be decreased at the value entered in the Standard cost record of this product.
Verify this by following the steps below:
- Go to Stock, Inquiries, Movements, Stock transactions.
- Enter a site and a product.
- Click on Criteria and tick Stock adjustment movement and Value change.
- Click Search and locate the Cost Source column.
- The Cost Source for some transactions may be different.
Other reasons could be that there might be stock transactions that are not posted yet (meaning the GL entry has not been created) at the time the Stock Valuation report is run.
For example: if a Product receipt or a Work Order tracking have been created but the functions FUNWIPACC and FUNSTKACC are not run yet, the GLs are not created. If you run the Stock Valuation report, the system will show a value for the received product. Therefore, we suggest you run FUNWIPACC and FUNSTKACC right before pulling out the Account balances and running the Stock Valuation report.