Inventory records

Definition

Inventory records are records used to track the status and movement of stock. This includes monitoring what you manufacture, what you sell, and what you produce.

Every person or entity that holds stock must maintain inventory records. Thanks to inventory records, you can determine what stock you have, what needs to be ordered, and the prices of products. Your accountant also needs inventory records, as they form the basis for accounting. Stock includes items such as goods, materials, and finished products.

Anyone maintaining accounting under a single-entry or double-entry system must keep inventory records if they have any stock. The Accounting Act or standard accounting procedures do not specify the format that inventory records must take.

Formats for Maintaining Inventory Records

Inventory records can be maintained using software, spreadsheet programs, or even on paper. The law does not regulate the format, so it is up to you to choose the method. Inventory management is typically carried out using delivery receipts, issue slips, stock cards, and delivery notes.

Records are maintained continuously throughout the year and contribute to the overall efficiency of warehouse management.