Types of inventory in accounting

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Proper bookkeeping implies not only the official registration of all economic transactions occurring in the organization, but also the implementation of relevant activities. This process is equivalent to comparing the information displayed in accounting with the actual information on the state and availability of the company's property. The procedure involves full control of available resources and timely detection of inaccuracies or discrepancies in accounting, as well as the facts of fraudulent actions on the part of materially responsible persons. In this article, we will analyze the types and procedure for conducting an inventory. It is advisable to start with the concept and essence in order to fully understand the meaning of the presented category.

The term and its definition

Inventory should mean checking the obligations and property of the enterprise by measuring, counting or weighing. The concept and types of inventory that exist todayday, one way or another suggest the existence of a methodology that allows you to clarify the indicators of accounting and control over the safety of property complexes, as well as to identify moments of unreliable display of transactions in accounting.

The main purpose of the procedure is to find errors, inaccuracies and omissions in accounting, as well as to improve the quality of accounting operations in the warehouse and control over the activities of storekeepers, accountants and other involved professionals. Before considering the types and procedure for conducting an inventory, it is advisable to highlight its main tasks.

Inventory tasks

Among the current tasks, we note the following:

• Formation of a list of material resources and their available quantity in units of natural value.
• Checking the validity of the display of manipulations occurring in accounting.
• Comparison of accounting and practical information.
• Identification of inaccuracies, errors or deliberate distortion of accounting information.

Inventory of property and liabilities: types

Today, the classification of the category in question is carried out in accordance with several criteria. We will analyze them separately, but first we will briefly name all those that currently exist:

• Types of inventory according to volume. In this case, full and partial are distinguished.
• Varieties according to the methodology. Here, such types of inventory as selective andsolid.
• Varieties by purpose. There is a planned, repeated, unscheduled and control inventory.

Types of inventory by volume

As it turned out, in accordance with the volume criterion, it is currently customary to distinguish between full and partial inventory. It is important to note that conducting a complete is relevant in the first place before the formation of annual reports, as well as in the case of an audit or audit. The named type of inventory of property covers absolutely all values of a material nature, settlement relations with other legal entities and individuals, as well as organizations without forming a legal entity, as well as funds. A complete inventory involves the coverage of all types of funds, including values that do not belong to the organization. Among them may be leased OS; materials accepted for processing; goods-material values taken for safekeeping, and so on.

Let's consider this type of inventory as partial. It is customary to call it each separate procedure that covers part of the company's funds. It is advisable to include, for example, an inventory of material assets associated with a change in materially responsible persons, or funds (in another way, this is called a cash audit).

Classification by method of conducting

What types of inventory according to the method of implementation are known today? Solid and selective. In the case of the latter,a specific materially responsible person checks only some values to choose from. It should be noted that selective inventory is implemented at enterprises with an extensive range of values. This type of accounting inventory, as a continuous one, is carried out simultaneously in all structural divisions, as well as in parent companies that are the property of this organization.

Classification by purpose

As it turned out, the division of the components of the category under consideration in accordance with such a criterion as purpose has the most ramifications. We will analyze separately all types of inventory. So, the planned is carried out according to the schedule in well-defined terms, which, as a rule, are approved by the management. It should be added that this period is not subject to disclosure. Conducting an unscheduled inventory is relevant due to the current situation or specific circumstances, for example, in the case of transfer of cases by a financially responsible person after theft, natural disasters, and so on.

This type of inventory in accounting, as repeated, is implemented when there is doubt about the objectivity, quality and reliability of the procedure already carried out. And finally, the control inventory implies control checks of the correctness of the inventory after the main one. In this case, the participation of special commissions, as well as financially responsible persons, is relevant. The control procedure is implemented beforeopening a pantry, section or warehouse where an inventory was carried out (this factor is very banal, but in practice it is very important).

Proceedings

Next, it is advisable to analyze the order of the procedure and learn the main points. Before the inventory is carried out, an order is issued for the company, where all the key points of this procedure are indicated. It is advisable to include here:

• The reason for the event (this item is optional).
• Inventory deadline (mandatory item).
• Varieties of we alth (mandatory item).
• Chairman and members of the commission (mandatory item).

Inventory Commission

As for the inventory commission, it is formed in a mandatory manner. This is indicated in the regulatory documentation. It is the audit commission that exercises direct control and verification, records the presence of property at the enterprise in fact, as well as the compliance of these values with accounting information. It is important to keep in mind that the inventory commission does not simply census the names and amount of property that the organization has. Her responsibilities are a wider range of actions, which include checking documentation for values (invoices, waybills, acts, contracts); compliance of the actual situation with the information presented in the documents; determination and subsequent analysis of the reasons for the write-off of values; identifying real opportunitiesthe use of certain waste activities.

In addition, the inventory commission is responsible for completing all the necessary documents, the main of which is the inventory list. It is in it that the name of the organization and structural divisions, the grounds for conducting an inspection, and the types of controlled property are indicated. In addition, there is a receipt of the person responsible in material terms regarding the capitalization and write-off of property, lines for the signatures of the chairman and elected members of the commission, as well as a column for filling in information about the presence of valuables.

Verification steps

It is important to know that the sequence of implementation of the inventory activities one way or another implies the presence of a number of verification stages, where it is advisable to include the following:

• The preparatory stage involves the issuance of an appropriate order, the creation of an inventory commission, and the determination of the timing of the procedure.
• The actual stage speaks of a direct check, that is, the calculation, weighing and census of all material assets available at the enterprise, as well as the formation of an inventory list.
• The processing stage involves comparing the information in the inventory with accounting information, as well as creating a collation statement and analyzing those deviations that are identified.
• The final stage involves the registration of the results of the types of inventory indicated above.

Designresults

As it turned out, the results of the inventory are indicated by means of an inventory collation sheet. At the same time, discrepancies between the actual availability of property and the information presented in accounting are reflected in the following order:

• The surplus of property is accounted for one way or another, and the corresponding amount of funds is credited to the financial results of the enterprise. It is important to add that in the case of a budgetary organization, we will talk about increasing funds (financing).
• Lack of or damage to property within the limits of natural loss is written off to the costs of circulation or production. If the limits of the established norms are exceeded, then the write-off is carried out to the account of the guilty employees, who act as responsible. In the absence of perpetrators or the refusal of the judiciary to recover losses from them, the write-off is carried out on the financial results of the enterprise.

Let's analyze the issue in practice

Next, consider several situations that often lead to a dead end in practice. So, how to write off the missing amount of money if the culprit is identified, but the company has no claims against him and does not plan to file a claim for damages? In this case, the shortage is written off in the same way as when the guilty employee is not identified. It is important here that the management issues an appropriate order regarding the write-off of the lack of money for the financial result of the structure's work.

Can I get fired?

Is it possible to dismiss an employee if disagreements arose during the inventory, in other words, a shortage or excess of material assets? It is important to note that in both cases, the employer has the legal right to dismiss him due to the loss of a certain degree of confidence in accordance with paragraph 45 of the Decree of the Plenum of the Supreme Court of the Russian Federation dated March 17, 2004 No. 2 “On the application by the courts of the Russian Federation of the Labor Code of the Russian Federation”. Here it is necessary to clearly understand that the fact of the employee's guilt must be fully proven. In addition, according to this article, the employer does not have the right to take away a pregnant woman, which should also be taken into account in practice.

Conclusion

So, we have considered the concept, definition, meaning, main tasks and goals of the inventory. In addition, we analyzed in detail its existing types, the procedure for conducting it, the current stages and the presentation of the results. Practical data was also useful, that is, answers to questions that any employer may have. It is important to remember that when forming collation statements, it is necessary to take into account the re-sorting of material assets, as well as the difference in the amounts of money that was formed as a result of this re-grading. It is also necessary to write off losses within the limits of natural attrition.

It should be remembered that for a competent assessment of the financial position of a company, one should have reliable information regarding all the property that is at its disposal. That's whyinventory is a mandatory procedure that allows you to achieve stable financial performance of the company. Naturally, there are many other more important factors, but this procedure is an integral element of the proper functioning of the structure, because it allows you to get information about the state and availability of material assets in the organization.