Subledger Report for Inventory Reconciliation

@jstreet06 Historical Inventory Valuation (IN617000) covers both halves of what you're after. It has two formats.

Summary shows each item's cost and quantity by period, grouped by account and subaccount. The Account Ending Balance line is the number you tie to Trial Balance Summary (GL632000) for the same period. Detail lists every transaction for an item: type, reference number, date, quantity and cost. The catch is that it only runs for one Inventory ID at a time.

For transaction history across all items, use Inventory Transactions by Account (IN403000). Pick your inventory account and period, and check By Financial Period so it filters on post period, which is the period the GL entry lands in. Each row is a released inventory transaction line with its Inventory ID, the debit or credit, and a running beginning and ending balance. You can narrow it to one item with the Inventory ID filter in the header.

To find the variance, compare IN403000 with Account Details (GL404000) for the same account and period. Look for an inventory transaction released with Update GL cleared, a GL batch that was never posted, or an entry that hit the inventory account from outside Inventory, like a manual journal entry. If the account's Post Option in Chart of Accounts is Detail, the GL lines match the IN403000 lines one to one. With summary posting, one GL line covers several inventory lines.

The help topic "Reconciliation of the Cost of Inventory with the Account Balance" walks through the full process.

Hi ​@jstreet06 

When investigating inventory variances between the Inventory subledger and the General Ledger, you can typically use the following reports. 

Compare the Inventory Subledger Balance to the GL Balance

• Run Historical Inventory Valuation (IN617000) in Summary format - This report shows the ending inventory balance from the Inventory subledger.
• Run Trial Balance Summary (GL632000) for the same financial period - This report shows the ending balance of the inventory account in the General Ledger.
• Compare the ending balances from both reports - If the balances match, there is no variance. If they differ, further investigation is required.

Investigate the Variance at the Transaction Level - Use Inventory Transactions by Account (IN403000) for the inventory account and period in question.

The combination of Historical Inventory Valuation (IN617000) and Inventory Transactions by Account (IN403000) is usually the effective way to identify and analyze discrepancies between the Inventory subledger and the General Ledger, as it allows you to compare balances first and then drill down to the individual transactions contributing to the variance

Summary of the reconciliation process

• IN617000 > inventory subledger balance
• GL632000 > GL balance
• IN403000 > transaction history to find the exact difference

Hope this helps