Stock valuation

Know what your stock is worth, today or on any past date.

Every unit is valued at moving average cost, or at its batch’s own cost, as it moves. Freight and charges can be added to product cost, later bill prices flow through, and a reconciliation report checks stock value against your books, branch by branch.

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Moving average cost, batch cost for batches
Stock value as of any date, by location or branch
Freight and charges added to product cost
Inventory reconciliation against the books

What is Stock valuation in Flowyana?

Flowyana stock valuation software works out what your inventory is worth at cost, continuously, as every unit moves. Stock is valued at moving average cost per location, batch-tracked stock at its batch’s own cost, and the value can be read for today or any past date. It is for retailers, distributors, manufacturers and restaurants that need inventory value they can trust, in India, the Gulf and elsewhere.

Inventory valuation usually breaks in the gaps: freight paid on a separate bill, a supplier invoice that differs from the delivery note, a transfer between branches. Flowyana adds freight and charges to product cost, carries price differences to the stock still on hand and to what has already been sold, and moves value with stock between locations.

The stock valuation report gives quantity, average cost and value on any date, by product, variant, location, branch or category. The stock report adds value at selling price and the potential profit.

With accounting on, every movement posts to your inventory and cost of goods ledgers, and the inventory reconciliation report checks that stock value and the books agree, branch by branch.

What it does

Stock valuation, in practice.

Moving average cost

Each product’s cost at each location is a running average: every receipt updates it, and every issue leaves at it.

Batch cost for batch items

Batch-tracked stock leaves at the cost of the batches it came from, so a pricier batch is costed as such.

Valued as it moves

Purchases, sales, returns, transfers, adjustments and production all carry a value, so stock value is always current.

Stock valuation as of any date

Quantity, average cost and value now or on any past date, grouped by product, variant, location, branch or category.

Freight and charges in cost

Add shipping and other charges on a bill to product cost, split by value or by quantity, even onto an earlier receipt.

Later prices flow through

When a bill’s price differs from the receipt, or a supplier gives a reduction, the change goes to the stock still on hand and to the cost of what was already sold.

Stock at cost and at selling price

The stock report shows each product’s value at cost and at selling price, and the potential profit between them.

Posted to your books

With accounting on, stock movements post to the inventory and cost of goods ledgers, which you can set per category.

Inventory reconciliation

A report compares stock value with the Inventory and Work in Progress ledgers per branch, and explains any difference document by document.

Transfers keep their value

Stock moved between locations or branches arrives at the value it left at, so no branch gains or loses value by moving goods.

Only need this module?

Get Inventory in the plans for the product you run — two or three plans per product, users and branches included. Add one more user or branch any time.

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How it works

Stock valuation, step by step.

1
Receive stock with a cost
Goods receipts and bills carry a unit cost for every line, which sets the average cost.
2
Add freight and charges
On the bill, add shipping and other charges to product cost, split by value or quantity.
3
Let movements value themselves
Sales, returns, transfers, adjustments and production carry value as they happen.
4
Read the valuation
Open stock valuation for today or a past date and group it the way you need.
5
Reconcile with the books
Run the inventory reconciliation to confirm stock value matches the ledgers for each branch.

In depth

A closer look.

Stock valuation at moving average cost

Each product has an average cost at each location. A receipt at a new price moves the average; an issue leaves at the average and books that cost against the sale. Batch-tracked items are valued by batch, so stock from a dearer batch leaves at its own cost. Returns, transfers, adjustments and production all carry a value, so the figure is always up to date.

Average cost per product per location
Batch cost for batch-tracked stock
Every movement carries a value
Cost of goods booked on each sale

Landed costs and price differences

Freight, duty, handling and other charges on a purchase bill can be added to product cost and split across the lines by value or by quantity, or applied to an earlier receipt. When a bill’s price differs from what was received, or a supplier gives a reduction, the change reaches the units still in stock and, for units already sold, cost of goods sold, following stock wherever it was transferred.

Charges added to product cost
Split by value or by quantity
Applied to an earlier receipt
Price changes follow the stock

Inventory valuation report on any date

The stock valuation report shows quantity on hand, average cost and value as of today or any past date, grouped by product, variant, location, branch or category, with a total. The stock and inventory reports add value at selling price, potential profit and margin, and low-stock items. Both are printable and exportable.

As of today or a past date
Group by product, location, branch or category
Value at cost and at selling price
Print and export

Inventory reconciliation with the books

When accounting is on, stock movements post to inventory, cost of goods and work in progress ledgers, and each category can name its own. The inventory reconciliation report compares stock value and open production with the Inventory and Work in Progress ledgers for each branch on a date you pick. Any difference is broken down into reasons, such as postings still waiting, entries made directly to the ledger or a voucher booked on a later day, with the documents behind each.

Stock posted to the ledgers
Ledgers per category
Per-branch reconciliation
Differences explained document by document

Who it’s for

Businesses that run on Stock valuation.

Distributors and importers

Freight and duty in product cost, so margins reflect what goods really cost.

Retail chains

Stock value per branch and location, reconciled with each branch’s books.

Manufacturers

Raw materials, work in progress and finished goods valued and reconciled.

Pharmacies and food businesses

Batch-level costs for batch-tracked stock.

Accountants and auditors

Stock value on the closing date, with a reconciliation that explains every difference.

Questions

Asked about stock valuation.

What is stock valuation?

Stock valuation is working out what the stock you hold is worth at cost. Flowyana values every product at every location as stock moves, so the value is current at any moment and can be read for any past date.

Which inventory valuation method does Flowyana use?

Moving average cost. Each receipt updates the average cost of the product at that location, and stock leaves at that average. Batch-tracked stock leaves at its batch’s own cost.

Can I see stock value on a past date?

Yes. The stock valuation report shows quantity, average cost and value as of today or any earlier date, grouped by product, variant, location, branch or category.

How do I add freight or landed costs to product cost?

On the purchase bill, mark shipping or another charge as added to product cost, and choose to split it by value or by quantity. It can also be applied to an earlier receipt.

What happens if the supplier’s bill price differs from the receipt?

The difference is spread over the units still in stock, and the share for units already sold goes to cost of goods sold, so neither stock value nor margin is left wrong.

Does stock valuation post to my accounts?

Yes, when accounting is on. Stock movements post to inventory and cost of goods ledgers, and each category can point to its own ledgers.

How do I check stock value against the balance sheet?

Run the inventory reconciliation report. It compares stock value with the Inventory and Work in Progress ledgers for each branch and lists what explains any difference.

Can I see stock at selling price?

Yes. The stock report shows each product at cost and at selling price, with the potential profit and margin.

Is stock valued separately per warehouse?

Yes. Average cost is kept per product per location, and the valuation report can be grouped by location or branch.

What is the best inventory valuation software for small businesses in the UAE or India?

One that values stock automatically as it moves, includes freight in cost, and reconciles with the books. Flowyana does this for retailers, distributors and manufacturers in the UAE, Saudi Arabia, India and beyond.

One platform

Plays well with the rest.

Inventory shares its records with every other module you switch on — no connectors, no re-typing.

Inventory Accounting Inventory Inventory Inventory Inventory Purchasing Reports All features →

Put Stock valuation to work.

Tell us what your business runs. We’ll show you this module live — on its own or alongside the rest — and recommend the plan that fits.

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