Inventory and item cost correction

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Hi folks,

I'm trying to correct a wrong stock situation, all items costs are wrong, from 01/01/2017 until now.

I'm planning to import a correct inventory situation for the 01 May 2017. But my problem is how can I handle all the posted transactions in a manner to have an the right item cost.

Does this scenario work? If not, do I have other options?

Thanks you in advance.

Best regards,
Fahd Belaid

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guk1964 10,886 on at

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RE: Inventory and item cost correction

Yes, you also need to understand what went wrong and whether it can recur or it will just come back again in another month.

Wiping the slate and starting again is a good plan.

However, you may also need to also look at reservations, marking etc.

Open orders e.g. in production, or sub contract. might also b a problem if not closed.

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Ludwig Reinhard Microsoft Employee on at

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RE: Inventory and item cost correction

Hi Fahd Belaid,

This sounds like a plan :-)

All the best and much success.

Best regards,

Ludwig

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Community Member on at

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RE: Inventory and item cost correction

Hi Ludwig,

I'm using LIFO with physical value.

I have invent transactions from 2015 and no inventory closing. My client has posted wrong counting journals and made adjustments without value.

Now, I'm taking back this situation for a start on 01/05/2017.

My client will do a physical inventory and will provide me a new situation on 30/04/2017 with the correct qty and item cost price.

My idea is to not to deal with the past transactions and cancel the stock to have by item (on-hand Qty = 0, item cost price = 0) by using first a counting journal and then the inventory closing and adjustment, action to take on 30/04/2017.

Import the new inventory on 01/05/2017

Best regards,

Fahd Belaid

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Ludwig Reinhard Microsoft Employee on at

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RE: Inventory and item cost correction

Hi Fahd Belaid,

What inventory valuation method do you use (fifo, lifo, etc.)?

Can you provide some more details on why your Qty + values are wrong?

What do you expect from this correction? If you say that you want to bypass all past transactions then you must have something in mind how you want to have this work. Can you explain/share your thoughts?

Best regards,

Ludwig

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Community Member on at

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RE: Inventory and item cost correction

Hi Daud Khalid,

In fact, this is the correct way, but I have many items to adjust. Making manuel adjustment could be endless. So, I'm looking to avoid manual adjustment and bypass all past transactions and inventory calculation.

Kind regards,

Fahd Belaid

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Ludwig Reinhard Microsoft Employee on at

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RE: Inventory and item cost correction

Hi Fahd,

I think the first think is to get the quantity correct, which can be achieved through a counting journal.

The second step would then be to correct the value of your items. If you make use of a current costing method, such as Fifo, Lifo, etc, you can achieve this by making a value adjustment via the inventory recalculation and closing form. If you use standard costs, then simply adjust the standard cost price in the costing version and if you use a moving average costing method you can adjust the moving average price through the respective reature in the periodic inventory functionalities.

Best regards,

Ludwig

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Community Member on at

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RE: Inventory and item cost correction

Once I have also came with the same problem, what i did, correct all the value of items one by one, and then make count journal entry of all the items. This can also effect the trial balance.

But in my case there were almost 350 items.

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Community Member on at

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RE: Inventory and item cost correction

Hi Ludwig,

Thanks you for responding :)

It's about 4500 items :

- Quantity : 70% correct; 30% incorrect

- Value : 100% incorrect

Best regards,

Fahd

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Ludwig Reinhard Microsoft Employee on at

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RE: AX2012R3 / Inventory and item cost correction

Hi Fahd Belaid,

What is the exact issue with the wrong stock situation?

Do you have the wrong quantity or wrong value recorded or both?

How many items are affected by this situation?

Best regards,

Ludwig

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