How to Perform Manual Stock Closing (Periodic Inventory) (New Vers.)

How to Perform Manual Stock Closing (Periodic Inventory)

Learn how to perform a manual stock closing using the periodic inventory method. This process helps ensure your inventory and cost of goods sold (COGS) are accurately reflected in financial reports at the end of a period.

1. Click on Products/Services and select 'Products/Services'

2. Click on 'Add New'

3. Click on 'Normal Product'

4. Fill in the information

5. Ensure to check 'Auto-record this product to inventory journal'

6. Click on Save

7. Click on Accounting and select 'Chart of Account'

8. Click on 'Add New'

9. Enter the name as "Manual Stock Closing"

10. Select "COGS" as the account type

11. Click on Save

12. In Products/Services page, select the three-dot menu

13. Click on Adjust Stock

14. Fill in the details

15. Select "Manual Stock Closing" as the account type

16. Click on Save

17. Click on Accounting and select 'View Report'

18. Click on Profit & Loss

19. It should be reflected in the report under the COGS category

Reverse the Manual Stock Closing

20. When you view the P&L, you will see both Inventory Adjustment and Manual Stock Closing

21. To remove it, click on Journals

22. Click on 'Add New'

23. Enter a Description

24. Enter the details: 

Debit Manual Stock Closing - 50 

Credit Inventory Adjustment - 50

25. Click on Save

26. In the Profit & Loss Report, the Manual Stock Closing should be cleared