GF1003 Inventory to GL Reconciliation Report (As Of Date)

Overview

The Inventory to GL Reconciliation report in GoldFinch provides a summary of inventory values as of a specified ending date. It is primarily used during the month-end closing process to reconcile the General Ledger (GL) inventory balance with the actual Inventory Valuation. The report helps calculate the necessary manual adjustment entries to ensure the GL and inventory records align.

Running the Report

Set the Posting Date:
When running the report, ensure that the Posting Date filter is set to the desired calendar date (the "As of Date"). This will include all relevant entries up to and including that date in the calculations.

Column Names and Explanations

• Shipped Not Invoiced:
  This column displays the dollar value of items where a shipment has been posted, but the corresponding invoice has not yet been posted.
  Month-End Adjustment:

  • Credit the Inventory Manual GL account with the Shipped Not Invoiced amount.

  • Debit the Receivables Accrual account.

• Received Not Invoiced:
  This shows the dollar value of items where a receipt has been posted, but the invoice is still pending.
  Month-End Adjustment:

  • Debit the Inventory Manual GL account with the Received Not Invoiced amount.

  • Credit the AP Accrual account.

• Output Not Costed:
  This shows the dollar value of items where the output from a Production Journal has been posted for a Work Order, but the Work Order has not been completed.
  Month-End Adjustment:

  • Debit the Inventory Manual GL account with the Output Not Costed amount.

  • Credit the WIP (Work in Progress) account.

• Expected Cost:
  This column totals the Shipped Not Invoiced, Received Not Invoiced, and Output Not Costed amounts. It represents the expected inventory costs that have not yet been invoiced or costed.

• Invoiced Cost:
  This shows the dollar value that has been posted to the Inventory System GL Account, representing the invoiced cost.

• Inventory Value:
  The total of the Invoiced Cost plus the Expected Cost, representing the reconciled inventory value.

By analyzing these columns and making the necessary GL adjustments based on the values shown in the report, you can ensure that the General Ledger reflects accurate inventory balances during the month-end close.