Revaluing the inventory

These changes may be due to changes in procurement, manufacturing and exchange rate movements.

A revaluation is carried out for a specified Inventory module period. Receipts and issues of goods made up to the end of the revaluation period are classified as revaluation period movements as far as the revaluation is concerned. Receipts and issues that have not been fully allocated (free inventory) can be updated to use the new standard costs. Receipts and issues of goods made after the revaluation period are classified as current period movements as far as the revaluation is concerned. The standard costs of these current period movements can be updated with the new standard costs.

The steps involved in processing a revaluation are as follows:

1. Define the revaluation

   Specify the profile and period to use and so on, for the revaluation.

2. Generate the revaluation

   Create a snapshot of the inventory movements with costs and run specified reports. This can be reported upon and checked before updating the Inventory module and Financials ledger.

3. Run reports

   Rerun reports specified for the revaluation.

4. Pre-Pass Check

   Process a validation-only run of the ledger posting.

5. Final process

   Recreate the snapshot, run reports, update inventory transaction standard costs, update ledger and update item standard costs as specified.

Steps 1, 2, 3 and 4 can be repeated as required until the desired results are obtained. Once the final process has been completed, the revaluation is set to Completed, and no further changes can be made.