The beginning balance for inventory items includes the quantity, unit cost, and total cost of the inventory. You only use this when you first enter beginning balances. However, if you enter an incorrect unit cost for a beginning balance, this is the only place where you can change it.
- To enter beginning balances for stock and assembly items, select the Beginning Balances button on the General tab of the Maintain Inventory Items window.
You can enter a single quantity and unit cost for each inventory item, provided you have a password that allows you to enter beginning balances (if one is required). Do not use the Inventory Beginning Balances window to make adjustments to inventory for spoilage or theft; instead, use the Inventory Adjustments option from the Tasks menu.
You can modify the beginning balance whenever you like, until you close the fiscal year. Once you close the fiscal year, you can no longer change beginning balances for any item that was used in any transaction in the closed year. You could, however, do an inventory adjustment on the first day of Period 1.
The total amount of your inventory beginning balances entered here needs to be the same amount you entered in your chart of accounts beginning balance for inventory accounts. If you don't do this, your general ledger and financial reports will not match your inventory reports.
If you want to adjust the quantity, enter an inventory adjustment instead. How do I do this?
The toolbar at the top of the window contains the following buttons: Cancel, OK, Find, Next, Serial No, and Help.
Item ID: This is the item for which you want to enter or change the beginning balance.
Quantity: This is the number of items you have in stock.
Unit cost: Enter the cost of the item per unit. If you want to calculate the unit amount, leave this blank and enter an amount in the Total Cost entry box.
Total cost: This is calculated by multiplying the quantity by the unit amount. If you want to calculate the unit amount, enter an amount here.