How to process a physical count
- Expand Inventory Management and Period End. Double-click Inventory Negative Tier Report. Generate this report to identify over distribution tiers for LIFO/FIFO items.
Note: If necessary, enter adjusting entries to clear negative tiers. For details, see How to use the Inventory Negative Tier Report
- Expand Inventory Management and Period End. Double-click Inventory Negative Tier Adjustment, and correct the negative tiers.
- Set the Inventory Management accounting date to use for posting to the General Ledger. The physical count process should normally be performed as of a period-ending date.
- Expand Inventory Management and Physical. Double-click Physical Count Worksheet, and select to freeze the on-hand quantities of the range of items, product lines, and warehouses that will be counted. You can also print the worksheet to record the actual count data.
Note: Freezing items in this manner creates a separate record of on hand quantities as of the time of freezing. Normal sales and receipt transactions do not change this value.
- Count the actual quantities in stock, and record the information on the worksheets.
- Enter the actual count from the worksheet using Physical Count Entry.
- If the physical count is the same as what is on the worksheet, you must still enter the count, otherwise the count is assumed to be zero.
- Quantities entered in Physical Count Entry must be entered as of the time of freeze. So if an invoice ships a quantity of an item out after the freeze, but before count has been entered, the count must be as if that quantity had not been shipped.
- Print the Physical Count Variance Register. Review the count and date, and then perform the update.
- Print the Daily Transaction Register and update the physical count data to the General Ledger.
- Back up the Inventory Management data files.
For additional information, click Help, Help Topics, and then Physical Count.