Stock taking is the
process of accounting physically the stock-in-hand and verifying this with the
balances shown in materials accounting document at predetermined intervals.
This monthly stock taking enables cost evaluation of materials for billing the materials-at-site
advance, costing materials inventory, and controlling materials mobilization
status, and reconciling stock discrepancies. Possible causes of discrepancies
between physical stock and storekeepers records can be due to the following:
1.
Materials received of
different types and qualities than those shown on goods received notes (GRN)
and site materials requisition notes (REQ).
2.
Quantity of stock issued
to construction centre is different than the quantity shown on the
quantity shown on the requisition note.
3.
Surplus materials held
in the construction centres are transferred or returned without documentation.
4.
Breakages, damages and
losses at the construction centres are not accounted for during stock taking.
5.
Clerical errors in
accounting.
Typical Stores
Accounting Ledger Sheet
Code
No. Max
Stock Level
Description Min Stock Level
Location Re-order
Level
Quantity
Required Re-order Quantity
|
||||||||
Date
|
Ordered
|
Receipts
|
Issues
|
Stock Balance Qty
|
Ordered Qty
|
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S.O. No.
|
Qty
|
GRN No.
|
Qty
|
Req. No.
|
Qty
|
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*Stores ledger sheet
contains entire stock information of a particular item Depending upon the
company policy, an additional column showing price can be included.
The discrepancies are
reconciled every month or quarter, and the adjustments are made in materials
cost, or these are written off from the profit and loss account.
