How is the cost of my stock calculated?

Trabalance uses weighted average cost. Each time you receive stock at a new price, the cost of the items you hold is recalculated as a weighted average of what you paid.

Buy 10 units at 100 and later 10 units at 120, and all 20 units are valued at 110 each. Sell one and the cost of sale is 110, not the price of a particular delivery.

This is why your inventory value can change when you receive goods even though you have sold nothing.

Cost is tracked per center, so the same item can carry a different average cost at two locations that bought it at different prices.

Try it in the live demo: Open inventories

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