Stock Valuation & Costing
Stock Valuation & Costing in PrismERP manages how inventory is valued and how the cost of goods sold is determined for each product. It tracks all stock movements, including purchases, sales, issues, transfers, and adjustments, and applies a consistent costing method to calculate the cost associated with every transaction. The system records these values in the Product Master, Stock Ledger, and Inventory Valuation, so product quantities and costs remain accurate at all times. Costs for products are calculated using the chosen method FIFO, LIFO, or Weighted Average considering multiple batches and varying rates. Whenever stock changes occur, such as a price correction, adjustment, or deletion of a transaction, the system recalculates the cost of goods sold and updates inventory values automatically. Item-wise calculations ensure that each product reflects the correct cost, and real-time updates allow the inventory value to remain current across the organization. Together, these processes form the complete Stock Valuation & Costing framework in PrismERP, ensuring accurate tracking of stock quantities, product costs, and inventory values throughout all transactions.