Revaluation Journals & Reclassification journals

Revaluation Journals

This journal can be used for changing the inventory value of items, for example after a physical inventory.
The revaluation journal lets you see the existing value of an item and assign a new value to it.

Correction of Incorrect Posted Documents

If you have posted a document, for example a purchase order, and discover that some of the information on the lines was incorrect, you can correct this posted document.
In the following, an incorrect posted purchase order is used as an example.
There are three ways of correcting a posted purchase order:

·         Creating an identical credit memo and a new purchase order in order to reverse the posting.

·         Revaluing the posted items.

·         Creating a credit memo and posting it with an item charge.

Here we have taken the second option that is revaluing the Posted items
Path of using Revaluation journals is shown below
Warehouse->Inventory->Revaluation journals

In the above screen

Document no:  you can give your own document no or through no. series also we can generate automatic no series.

Item No: Select the item number which was posted with wrong cost in the purchase order

Applies-to Entry: Select the entry for which cost posted wrongly

Then enter the actual cost need to post for that item in Unit Cost (Revalued) column.

 

if you post this line, it will automatically adjust that cost of that old entry.

So if you go to the respective entry you will find the difference. Like below

Go to the item card and click on Inventory field and select the entry for which we have posted the latest cost.

Then click on the Cost Amount (Actual) field it shows the cost entries posted for that entry.

In which we can see all the entries posted against that item including adjustment entries.

Reclassification Journals:

Similarly you use the Item Reclassification Journal window to adjust inventory when you transfer items between different locations or between bins.