What is Stock Reconciliation?
Stock Reconciliation in ERPNext adjusts physical stock counts to match actual inventory, correcting quantity and valuation discrepancies found during stocktaking.
Running a Stock Reconciliation
Go to Stock → Stock Reconciliation → New. Select the warehouse and upload or enter the actual quantities counted. ERPNext compares these to the system quantity and shows the difference. On submission, it posts a Stock Entry to correct the variance.
Accounting for Stock Adjustments
The difference in value (if perpetual inventory is on) is posted to the Stock Adjustment account (an expense account). For opening balances during go-live, Stock Reconciliation is also used to set initial item quantities and valuation rates.
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