Item Valuation

An item valuation: a code, a name and the inventory method stock is valued by.

Where

Product Information › Item key Setting

Who uses it

The accountant

When

At setup

Needs first

Nothing

What it is for

Every item in a company names an item valuation. The inventory screens and the inventory closing read its Inventory Method. In manufacturing it matters on the receipt of finished goods: for an item valued at moving average (MAVG) the receipt is priced from what the confirmations consumed, shared over the quantities received; for standard (STD) it is not.

Every field in plain words

Field	What it means	What to put
Item Valuation	The short code.	Cannot be changed once saved. Required
Name	The name shown in lookups and on documents.	A clear name
Inventory Method	The costing method.	Pick from the list, for example MAVG or STD

How to configure it

There is nothing to configure beyond the fields above. Which fields are shown, required or hidden can be changed per company by the consultant in the screen configuration.

Scenarios

• A manufacturer values raw materials at moving average and finished goods at standard. Make two valuations and pick the right one on each item.

What it is connected to

• Release Item In Legal Entity - Item Valuation on the item
• Inventory Closing - costing and closing

If something looks wrong

• Valuation is greyed out on the item. The item already has stock. It cannot change.