feed production beginning inventory

When a new feed mill begins operation,  a beginning inventory must be created.  The inventory will begin  on the first day of the period. The line items will create transactions only within FMIM and do not create journal transactions. Journal transactions for beginning inventory must be manually entered. Beginning Inventory records must be manually posted.

Prior to creating a Beginning Inventory, the following items should be created:

• Feed Mill
• Feed Formula
• Silo (optional)

The following items are outlined in this document in regards to Beginning Inventory transactions:

• Creating a Beginning Inventory Transaction
• Posting a Beginning Inventory Transaction
• Creating a Beginning Inventory Journal Transaction

Create a Beginning Inventory

1. In FMIM>Transactions>Feed Production, select Beginning Inventory.
2. In the Finished Feed Beginning Inventory main index, selectto create a new inventory record.

3. In the New Record dialog box, in the Trans Date/Time field, enter the date and time of the transaction.
4. From Feed Mill No, select the required feed mill.
5. Click 'OK' and the Finished Feed  Beginning Inventory screen will appear.
6. In the Finished Feed  Beginning Inventory main screen, select to create a new transaction.

7. The FMIM Finished Feed Trans Code will default to 'Beginning Inventory'.

8. From Formula No, select the feed formula number of the item that is to be put in inventory.

9. Formula  Name will default from Formula No and displays a description of the formula.

10. Storage Mode will default based upon the formula set up.

11. Silo No is an optional field, and represents the silo where the feed formula is located. The cost will be entered in the defined silo location. If silos are used, costs will be maintained within the silo. Silos must be predefined by feed mill in Admin>Business>FMTS>FMIM>Silos.

12. Silo Name will default from Silo No and displays a description of the silo.

13. Lot No is used to record the lot number for the feed formula. If lot numbers are used, cost will remain with the lot.

14. Select the Consignment flag if the product being created is consignment inventory.

15. Consignment Complex PO No represents the purchase order from which the product was purchased and received if consignment inventory is being created. The purchase order must be previously created and posted before the beginning inventory consignment transaction is entered.

16. Ref No is an optional field, and is the reference number for the physical inventory transaction.

17. Quantity is the amount of units in inventory. Enter the amount of actual inventory in this column.  

18. In the Value field, enter the cost o the inventory.

19. Save and close the transaction.

20. From the Beginning Inventory index, select the transaction records and right-click to select Post. If the record needs to be modified, select the posted record, right-click and select unpost. The record will then be set to 'Reversed' status and available for edit.

Post Beginning Inventory

Beginning Inventory transactions must be posted to lock the record and record the transaction in inventory. The UnPost option unlocks the receiving transaction and reverses the journal transactions.

1. In the Feed Production>Beginning Inventory index, select the required transactions and right-click to select 'Post'.

2. To un-post a transfer, select the required beginning inventory transactions and right-click to select 'UnPost' or select Options>UnPost. This process will set the transaction status to Reversed which allows the transaction to be edited.

Create Beginning Inventory Journals

The Beginning Inventory Journals must be created to enter the inventory balances in the account to match the Beginning Inventory transaction. The Beginning Inventory can be optionally entered by product or one amount for all products. The only benefit of entering by product is to provide a more accurate audit trail. It does not affect the valuation process.

1. Create new journal transaction as outlined in Create Journal Transactions. The Trans Date for the journal transaction should be the last date of the prior period. For example, if the period starts on 01/01/2013, the journal transaction should be dated for 12/31/2013.

2. Validate create journal transactions to beginning inventory transactions by feed mill and cost center.

3. Post journal transactions.