This process, done automatically at every closing, takes the entries made since the last update, posts them to the inventory file, and then moves them to history. You can also update inventory manually through this menu option. If you are an O.I.L. Site, linked to the ISI Office Information Link software at a central office, this option applies automatic cost updates sent to the stores from the central office only if you use the Standard Costing method.
| Note: | If you need to print inventory reports during the day, make sure you update your inventory first to ensure all transactions are taken into account for the reports. |
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Do not run this process while invoices are being processed. All terminals should be at a login prompt or on a menu. All invoices are locked until it is complete. |
Use the following steps to update your inventory file:
| Note: | The Updating Inventory menu can also be accessed through the Take Inventory menu (1-7-4-4). |
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The update cannot be run with inventory items that have negative quantities on hand. If you have negative quantities on hand (usually from selling out of stock), you receive a message when you try to do an update. To correct the problem, print a Negative Quantity Report (1-7-2-5) and receive the inventory items listed on the report. You must then choose the Update Inventory option again to update your inventory successfully. |
If you do adjustments and update inventory after the monthly closing processes have been run, the date on these adjustments and transactions will be assigned the next day’s date. This is important to remember, because it has long-term implications for certain inventory reports.
For example, you take inventory on March 31. The inventory is counted and the counts are entered into the computer. If adjustments are made or the Automatic Adjustments process is run, the date on these transactions depends upon whether the center was closed. If the center is open, the transaction date is March 31. If the center is closed, the date is April 1.
This does not cause a problem until a monthly valuation report is generated. The natural selection date for a month end for March is 3/31, except that the 4/1 adjustments are not included. And, if they are included by using the 4/1 date, your report is what you wanted only if you did not process cars on 4/1.
When you update your inventory, the transactions are updated in the following order:
Order of Transaction updates
