Frequently Asked Question

The "expanded" physical count method takes a "picture" of inventory levels and costs for the items to be counted. When the physical count is complete, you enter the counted quantities which are then compared to the "picture" inventory levels, and inventory adjustment transactions are created for the discrepancies.

This method is useful for situations where the counts are entered after the actual count is conducted, and business will be continuing on as usual.

Some notes before you begin:

• Use these steps in conjunction with chapter 28 of the Inventory manual;
• We are not using sections in this example;
• Depending on your setup, some features may not appear on the screenshots;
• The same basic principles apply if you are importing quantities from worksheets or you're using a handheld data collector;
• Before beginning, be sure all sales/receivings/adjustments for the fiscal year are dated and posted on or prior to your physical count date;
• After the inventory has been suspended and counts completed, sales can continue as normal even if the counts haven't been entered or posted yet;
• Inventory can be received, but we highly recommend that it is dated for the new year and not backdated. Backdating causes confusion when looking at costs and quantities;
• Any errors after the fact can be manually entered in Inventory > Enter.

The functions usually run in sequence within the Inventory control module are:

1. Physical count > Remove count - this will clear everything out so that you are starting with a fresh file. Do not do this once you've started counting;
   
   
   
   
2. Physical count > Create suspension - creates a snapshot or picture of the inventory quantities and cost as at that moment in time. Do not do this again once you've started counting;
   
   
   
   
3. Physical count > Enter count - use this to manually enter or correct a previously entered count. Use this to edit counts from handheld devices or from a count that has been imported from a worksheet;
   
   
   
   
4. Physical count > Worksheet - run this report for variances and counts collected. This can be sent to the X.Export printer which opens it up in Excel. If you are printing a hard copy, you'll want to set the Print in order by field to match your purpose (i.e. by category, subcategory, quantity variance, etc.);
   
   
   
5. Inventory > Post - once you're satisfied with the counts, you'll want to clear out the inventory transaction file;
   
   
6. Physical count > Create adjustments - takes the suspension quantity and compares it to the counted quantity to create unposted inventory transactions. Purpose code and Mark adjustments as corrections fields may not appear in your configuration;
   
   
   
7. Inventory > Edit list - to audit the count adjustment transactions created. It will also show any errors, which in most cases is related to serialized or lot controlled items;
   
   
8. Inventory > Enter - to fix any adjustment transactions created);
   
   
9. Inventory > Post - this finalizes the count, creating permanent adjustment transactions;
   
   
10. Reports > Valuations report - generate a historical valuation as at whatever your year end date is that you want to report on.

Please reach out to us at support@samco.com If you have any questions about this process.