Capturing Inventory Costs After Inventory Counts

When performing a full physical inventory count, capture the average cost, last cost, landed average cost, and landed cost for products at a branch as of the count date. By capturing these costs, you create the following four additional cost bases:

Frozen Average Cost
Frozen Last Cost
Frozen Landed Average Cost
Frozen Landed Cost

These cost bases provide benchmarks for running various reports, including the LIFO Inventory Valuation Report and the Gross Margin Return On Investment (GMROI) Reports.

Use the Capture Average Cost program to capture and create these cost bases. Run this program after printing count sheets or cards and before entering the inventory counts.

Note: When the Should Inventory Adjustment Update Avg/Last Costcontrol maintenance record is set to Y, inventory adjustments cause the system to recalculate the LAST-COST and AVG-COST global cost bases.

To capture the average cost and last cost after an inventory count:

From the Physical menu, select Capture Average Costs to display the Average Inventory Costs window.

In the Br/Tr/All field, enter the branch, branches, or territories for which to capture the average cost and last cost for products.

In the Type field, select a product group type for which to capture costs:

Type	Description
All	Captures average cost and last cost for all products in the inventory.
Changed	Captures average cost and last cost for all products whose average cost has changed since the last time the average cost and last cost were captured. You need to capture the average cost and last cost at least once in a prior period.
Line	Captures average cost and last cost for all products in a price line. The Average Cost Capture window prompts for a single price line for which to capture costs. In the Price Line field, enter a price line.
Physical	Captures average cost and last cost for all products in the current count control file. This is the default. Note: This selection activates the Control # field, enter the count control file ID.
Product	Captures average cost and last cost for a single product. The Average Cost Capture window prompts for a single product for which to capture costs. In the Product field, enter the product.

If you select Physical in the Type field, the system displays the Control # field. Enter the count control file ID.
From the File menu, select Begin to run the program.

When complete, the Phantom Scheduler displays a confirmation message.

Exit the window.