6. PRINT-OUT OPERATION OF INVENTORY WITH DAC EASY SCREEN 6-1: DAC EASY ACCOUNTING /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING M A I N M E N U 1. FILE UTILITIES 2. GENERAL LEDGER 3. ACCOUNTS RECEIVABLE 4. ACCOUNTS PAYABLE 5. PURCHASE ORDERS 6. BILLING 7. INVENTORY 8. REPORTS 9. FORECASTING 10. END PERIOD ROUTINES 11. FILE CREATION AND MAINTENANCE 99. EXIT TO DOS ENTER YOUR SELECTION: \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to select option 7, which is "INVENTORY". TYPE: 7 PRESS: [<-'] Enter/Return key AND THE SYSTEM WILL: Return with the "ACCOUNTS PAYABLE" menu. Comments / Questions: 6.1. ROUTINE USED TO PRINT-OUT INVENTORY LISTINGS This routine is not the main inventory routine, it is basically used to print-out inventory listings sorted according to different requirements. The main entry to inventory is made by the system in the "PURCHASE ORDER" routine. SCREEN 6-2: Return with with the "ACCOUNTS PAYABLE" menu /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to select an option, and also that we are in the "INVENTORY" menu. Next, I want to select option 1, which is "PRICE ASSIGNMENT". TYPE: 1 PRESS: [<-'] Enter/Return key AND THE SYSTEM WILL: Return with the "PRICE ASSIGNMENT" option. Comments / Questions: 6.2. ROUTINE USED TO PRINT-OUT THE INVENTORY REPORTS Options 7.1 through 7.6 are have the same print options, which will be explained later, the differences are in the purpose of the reports. Basically this routine is used to print-out the inventory reports sorted and ranked according to the most useful format for the user. Since routines 7.1 through 7.6 are basically similar, I will explain routine 7.1 in detail and briefly describe the other routines. 6.2.1. MUST CONVENIENT WAY TO PRINT INVENTORY LISTINGS Routine 7.2, "PRODUCT LISTING", is used to print the inventory listing in the most convenient way to the user. For example, if sorted by bin number it provides a "map" of the product location. By vendor it provides the reader with an idea of which vendor sells which product, the combinations and possibilities are unlimited. SCREEN 6-3: Return with the "PRICE ASSIGNMENT" option /-----------------------------------------------------------------------------\ PRICE ASSIGNMENT SORTED BY: RANK BY: 1. INVENTORY # 1. INVENTORY # 2. DESCRIPTION 2. DESCRIPTION 3. PRODUCT TYPE 3. ON-HAND UNITS 4. PRODUCT BIN 4. ON-HAND DOLLARS 5. PRODUCT VENDOR 5. PURCHASE UNITS 6. PURCHASE DOLLARS ENTER YOUR SELECTION : 7. SALES UNITS 8. SALES DOLLARS FROM: 9. PROFIT TO: 10. TURNS 11. GROSS RETURN ENTER YOUR SELECTION : FROM: TO: \-----------------------------------------------------------------------------/ Look at the screen, and find the "SORTED BY:". To me, it shows that there are several options to sort by, and that there are several options to rank by. Next, I want to return to the "INVENTORY" menu. PRESS: [Esc] Escape key AND THE SYSTEM WILL: Return to the "INVENTORY" menu. Comments / Questions: 6.3. SORTING AND RANKING OPERATIONS There are five sorting operations and eleven ranking operations. Most of the options are straightforward, however, "TURNS" refers to inventory turnover, which is how many times the inventory comes in and goes out (is purchased and sold). 6.3.1. PRINT-OUT OPERATION OF INVENTORY ON HAND This operation is simply a print-out operation of the inventory on hand. Price assignments are then made, in other words the new prices are compared to the old ones and the new prices are keyed in. This is essential in the inventory process as the correct price is required to have a correct dollar value calculated for the Balance Sheet amount. Press escape to return to the "INVENTORY" menu. SCREEN 6-4: Return to the "INVENTORY" menu /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to choose option number 7.6, "COUNT SHEETS". TYPE: 6 PRESS: [<-'] Enter/Return key Comments / Questions: 6.4. ROUTINE FOR PRICE LISTING Routine 7.3, "PRICE LISTING", prints out by price, and gives the user an idea of the different prices of the products. This routine can be used to call attention to expensive items in inventory which may require special care or security. This routine can also be printed with the price of the product shown, printed in code, or not shown. The code for the price not to appear is 1234567890, to code them in 1234567890=ABCDEFGHIJ, so 12.95=AB.IE. 6.4.1. INVENTORY ACTIVITY PRINT-OUTS Routine 7.4, "ACTIVITY REPORT", is used to print-out inventory activity, can be ranked by turnover to determine the best selling and worst selling products. 6.4.1.1. ALERT REPORT Routine 7.5, "ALERT REPORT", this report should be a daily routine because it tells the company which products need to be ordered due to low inventory or which items may be stocked out. 6.4.1.2. ROUTINE FOR PHYSICAL INVENTORY ENTRIES Routine 7.6, "COUNT SHEETS", is used to enter the physical inventory and then the differences are entered in 7.7. SCREEN 6-5: COUNT SHEETS /-----------------------------------------------------------------------------\ COUNT SHEETS SORTED BY: RANK BY: 1. INVENTORY # 1. INVENTORY # 2. DESCRIPTION 2. DESCRIPTION 3. PRODUCT TYPE 3. ON-HAND UNITS 4. PRODUCT BIN 4. ON-HAND DOLLARS 5. PRODUCT VENDOR 5. PURCHASE UNITS 6. PURCHASE DOLLARS ENTER YOUR SELECTION : 7. SALES UNITS 8. SALES DOLLARS FROM: 9. PROFIT TO: 10. TURNS 11. GROSS RETURN ENTER YOUR SELECTION : FROM: TO: \-----------------------------------------------------------------------------/ Look at the screen, and find the "SORTED BY:". To me, it shows that there are several options to sort by, and that there are several items to rank by. Next, I want to print out the count sheets. TYPE: (type in the desired selections or strike the return to print the default values where the system allows you to, then) PRESS: [<-'] Enter/Return key AND THE SYSTEM WILL: Print-out the count sheets. Comments / Questions: 6.5. NO DEFAULT RULE The "FROM:" and "TO:" are the numbers to print, if we strike return, the program will print all of them out. The "ENTER YOUR SELECTION:" must be answered as there is no default in the sort and rank operations. 6.5.1. PRINT-OUT IS NOT SCREEN VISIBLE As explained previously the following print-out is not screen visible, it is only a facsimile of the actual, which prints out in condensed print. The following example was sorted and ranked by inventory number. SCREEN 6-6: Print-out the count sheets /-----------------------------------------------------------------------------\ DATE: 04-01-86 JUAN,BOMB & FERUT INC. PAGE NO. 1 TIME: 05:12 6405 SANTONA STREET MIAMI FL 33146-3147 (305) 665-7882 TOTALS BY: INVENTORY # UNIT BIN INV.# DESCRIPTION TYPE VENDOR UNITS FRACTIONS REMARKS ------- ----------- ---- ------ ----- --------- ------- 100 GIZMOS UNIT 1 01 ----- --------- ------- GRAND TOTAL 1 \-----------------------------------------------------------------------------/ Comments / Questions: 6.6. INVENTORY MENU Notice the "DATE" AND "TIME", these have been explained before and the heading is similar to the other print-out headings. Notice the "TOTALS BY:", this indicates that the inventory was sorted according to inventory number. Notice the other headings, these are clues to the location and description of the inventory, and notice the blank lines after the items, here we will write in by hand the amounts we actually counted. Notice also the "GRAND TOTALS", this is not a dollar amount but the amount of inventory items that were printed out. There are no system prompts on this screen, as this is merely an informational screen, we will return to the "INVENTORY" menu from screen five. After we finished printing the count sheets we pressed escape to return to the "INVENTORY" menu. SCREEN 6-7: DAC EASY ACCOUNTING /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to select option 7, "ENTER PHYSICAL INVENTORY". TYPE: 7 PRESS: [<-'] Enter/Return key AND THE SYSTEM WILL: Return with option 7, "ENTER PHYSICAL INVENTORY ". Comments / Questions: 6.7. ROUTINE FOR HAND WRITTEN ENTRIES This routine will allow you to enter the hand written entries off your inventory count sheets for comparison to the perpetual inventory records. SCREEN 6-8: Return with option 7 /-----------------------------------------------------------------------------\ PHYSICAL INVENTORY ENTRY INVENTORY # DESCRIPTION UNITS/FRACT.COUNTED REC ------------ ------------------------- ------------------- ----- \-----------------------------------------------------------------------------/ Look at the screen, and find the "INVENTORY #". To me, it shows that the computer expects me complete the worksheet. Next, I want to complete the worksheet, and return to the "INVENTORY" menu. TYPE: (type in the entries individually as explained below, then:) PRESS: [<-'] Enter/Return key, when finished [Esc] Escape key Comments / Questions: 6.8. ASSIGNING RECORD NUMBERS Enter the inventory number under the caption "INVENTORY #" and the description will appear automatically. Enter the amount from the count sheets in the "UNITS/FRACT.COUNTED" column and the record number ("REC") will be assigned automatically by the system. 6.8.1. CANCELLING A RECORD The record number will be used if there is a need to cancel an entry made in error or that may need to be corrected later. To cancel a record enter the invoice number, press return and the cursor will move to the " UNITS/FRACT. COUNTED" column, here you enter "C" and enter the record number that you wish to cancel in the "REC" column. After you enter "C" press the return to delete the entry and re-enter the correct amount. This is similar, but not exactly the same as the cancel procedures described previously. Enter "T" to indicate you are finished. SCREEN 6-9: DAC EASY ACCOUNTING /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen and find the "SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to select option 8, which is "PRINT PHYSICAL-PERPETUAL". TYPE: 8 PRESS: [<-'] Enter/Return key Comments / Questions: 6.9. COMPARING INVENTORY COUNT There are five sort operations in this routine. They are the same five previously described. This routine is used to compare the physical inventory entered from the count sheets and the perpetual inventory on the books (in the system's book of accounts). SCREEN 6-10: PERPETUAL-PHYSICAL COMPARATIVE REPORT /-----------------------------------------------------------------------------\ PERPETUAL-PHYSICAL COMPARATIVE REPORT SORTED BY: 1. INVENTORY # 2. DESCRIPTION 3. PRODUCT TYPE 4. PRODUCT BIN 5. PRODUCT VENDOR ENTER YOUR SELECTION :1 Processing... PRESS + TO PAUSE PRINTING \-----------------------------------------------------------------------------/ Look at the screen, and find the "Processing...". To me, it shows that the computer is processing the physical-perpetual inventory report and is printing it. Next, I want to view the finished print-out and return to the "INVENTORY" menu. PRESS: [Esc] Escape key Comments / Questions: 6.10. INVENTORY MENU DISPLAY We will press escape when the program is finished printing to return to the "INVENTORY" menu. This procedure follows the same procedures outlined previously, except that there is no default, a selection must be made. The following is a facsimile print-out, since the actual print-out is not visible on the screen. SCREEN 6-11: JUAN,BOMB & FERUT INC. /-----------------------------------------------------------------------------\ DATE : 04-01-86 JUAN,BOMB & FERUT INC. PAGE NO. 1 TIME: 06:07 6405 SANTONA STREET MIAMI FL 33146-3147 (305) 665-7882 Sorted BY:INVENTORY# PERPETUAL-PHYSICAL INVENTORY COMPARATIVE REPORT PERPETUAL PHYSICAL INV.# DESC. TYPE BIN VENDOR UNIT UNITS FRAC UNITS FRAC DIF REMARKS REC ----- ----- ---- --- ------ ---- ----- ---- ----- ---- --- ------- --- GRAND TOTAL PRODUCTS \-----------------------------------------------------------------------------/ Comments / Questions: 6.11. DIFFERENCE BETWEEN INVENTORY FROM THE COUNT SHEETS AND THE PERPETUAL INVENTORY RECORDS This print-out shows the difference between the actual inventory count entered from the count sheets in operation 7.7 and the perpetual inventory records in the system. The differences are calculated by the program in the "DIF" or difference column. 6.11.1. FACSIMILE ACTUAL PRINT-OUT This is a facsimile of the actual print-out for demonstration purposes since the actual does not appear on the screen. 6.11.1.1. INVENTORY MENU We will return to the "INVENTORY" menu from screen 10, after having pressed escape when the printing was finished. SCREEN 6-12: DAC EASY ACCOUNTING /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to select option 9, "POST ADJUSTMENTS". TYPE: 9 PRESS: [<-'] Enter/Return key Comments / Questions: 6.12. POSTING INVENTORY DIFFERENCES This routine will post the differences from the preceding operation to the GL, the accounts affected will be inventory and accounts payable. SCREEN 6-13: POST PHYSICAL INVENTORY TO PERPETUAL /-----------------------------------------------------------------------------\ POST PHYSICAL INVENTORY TO PERPETUAL WARNING: BEFORE YOU RUN THIS ROUTINE HAVE BACKUP FILES TO AVOID PROBLEMS. DO YOU WANT TO CONTINUE? (Y/N) \-----------------------------------------------------------------------------/ Look at the screen, and find the "DO YOU WANT TO CONTINUE? (Y/N)". To me, it shows that the computer expects me to respond to the screen question. Next, I want to respond "Y" to be able to continue. TYPE: Y PRESS: [<-'] Enter/Return key Comments / Questions: 6.13. WARNING MESSAGE This is the same procedure as we followed before, to continue we must type "Y", which is yes. Notice the "WARNING" message, this has also been described before. SCREEN 6-14: POST PHYSICAL INVENTORY TO PERPETUAL /-----------------------------------------------------------------------------\ POST PHYSICAL INVENTORY TO PERPETUAL WARNING: BEFORE YOU RUN THIS ROUTINE HAVE BACKUP FILES TO AVOID PROBLEMS. DO YOU WANT TO CONTINUE? (Y/N) Y BE SURE PRINTER IS ON-LINE AND PRESS TO BEGIN \-----------------------------------------------------------------------------/ Look at the screen, and find the "PRESS TO BEGIN". To me, it shows that the computer expects me to have completed the preceding instructions and make sure that the printer is on line before I press return to begin the posting process. Next, I want to press return to begin the posting process, and when the posting is completed press escape to return to the "INVENTORY" menu. PRESS: [<-'] Enter/Return key,then [Esc] Escape key Comments / Questions: 6.14. ADJUSTING ENTRIES Once the inventory has been correctly entered we will post the difference to the GL. (An adjusting entry). In the GL Interface routine we have already set up the account which will allow the system to post the difference, the account is cost of goods sold. This is necessary since we cannot key in any journal entry directly to inventory, if it is not through one of the inventory routines. 6.14.1. NOTICE THE WARNING MESSAGES Notice the warning messages. This is a problem with the system,information does not remain in the files after the posting routine. If we wish to post each month (a normal process for the monthly financial statements) we will need at least twelve or more different back-up files. 6.14.1.1. PRINTER ON-LINE DURING THE POSTING PROCESS Another question is why does the printer have to be on-line during the posting process as nothing prints out, unless there is an error message and that prints out on the screen. SCREEN 6-15: DAC EASY ACCOUNTING /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to select option 10, "DEFINE COST SYSTEM". TYPE: 10 PRESS: [<-'] Enter/Return key AND THE SYSTEM WILL: Return with option 10, "DEFINE COST SYSTEM". SCREEN 6-16: DEFINE COSTING SYSTEM /-----------------------------------------------------------------------------\ DEFINE COSTING SYSTEM 1. LAST PURCHASE PRICE 2. STANDARD COST 3. AVERAGE COST ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose one of the options to define the cost system. Next, I want to choose "AVERAGE COST". TYPE: 3 PRESS: [<-'] Enter/Return key,then [Esc] Escape key Comments / Questions: 6.15. ROUTINE FOR DEFINING THE COST SYSTEM This routine allows the user to define his cost system. He has three choices."LAST PURCHASE PRICE" (LIFO), "STANDARD COST", or "AVERAGE COST". If we do not define the cost system the default is "AVERAGE COST". Retailers would generally use the first option, manufacturers would generally use the second option, and a small business would use the third option. 6.15.1. ALTERING THE COST SYSTEM The cost system can be changed at any time. If the user is changing methods, the system will inform the user of the previous method used. This routine should be done in the start up operation. 6.15.1.1. INVENTORY MENU DISPLAY After entering the number and pressing the return, we will press escape to return to the "INVENTORY" menu. SCREEN 6-17: DATE 04-01-86 TIME 06:47 /-----------------------------------------------------------------------------\ DAC EASY ACCOUNTING INVENTORY MENU 1. PRICE ASSIGNMENT REPORTS PHYSICAL INVENTORY 2. PRODUCT LISTING 6. COUNT SHEETS 3. PRICE LISTING 7. ENTER PHYSICAL INVENTORY 4. ACTIVITY REPORT 8. PRINT PHYSICAL-PERPETUAL 5. ALERT REPORT 9. POST ADJUSTMENTS OTHERS 10. DEFINE COST SYSTEM 11. P.O./INVOICES # 99. RETURN TO MAIN MENU ENTER YOUR SELECTION : \-----------------------------------------------------------------------------/ Look at the screen, and find the "ENTER YOUR SELECTION:". To me, it shows that the computer expects me to choose an option. Next, I want to select option 11, which is "P.O./INVOICES #". TYPE: 11 PRESS: [<-'] Enter/Return key SCREEN 6-18: ENTER THE LAST NUMBER OF: /-----------------------------------------------------------------------------\ ENTER THE LAST NUMBER OF: PURCHASE ORDERS RETURNS TO VENDORS 0 INVOICES 0 SALES RETURNS 0 \-----------------------------------------------------------------------------/ Look at the screen, and find the "PURCHASE ORDERS". To me, it shows that the computer expects me to enter the last number issued or press return for the default. Next, I want to press return for the default value, which is zero, and when I have done so for each of the choices, I will press escape to return to the "INVOICES" menu, then in the invoices menu, I will type 99 and press return to return to the main menu. PRESS: [<-'] Enter/Return key,then [Esc] Escape key Comments / Questions: 6.16. PURCHASE ORDER NUMBERS Through this routine the purchase order numbers, the invoice numbers, the sales return numbers and the return to vendors are controlled. 6.16.1. AUTOMATIC NUMBERING Enter the last number issued and the system will automatically continue the numbering. If we do not enter any numbers the default will be "1" for each of the above. 6.16.1.1. FILE CREATION AND MAINTENANCE This routine is actually part of the start up routine. The organization of these routines is another shortcoming of the system. Routines are not logically organized or are deceptively labeled. This routine and the preceding one should be routine # 11, "FILE CREATION AND MAINTENANCE", which would be a more logical place to place them, since their use is not compatible with the rest of the operations in this process, and would even be more logical for a fist time user, as where they are now they could be overlooked.