Does your unit have inventory for resale on hand which is sold as a part of a self-supporting operation? If so, see below for a few tips to keep in mind over the coming months when you are planning your annual physical count:
- All units with inventory for resale are required to conduct an annual physical count of their inventory for resale on hand, and are required to either: (1) report the adjusted value as of June 30 to UAFR as a part of the annual Year-End Fact Sheet reporting process, or (2) update the value in Banner themselves via a journal voucher.
- To ensure proper controls and safeguarding of the items which are being counted, it is strongly recommended to assign a team of two or more employees to perform the physical count together.
- While the count itself does not necessarily need to be performed on June 30, the value of the inventory for resale reported on the Year-End Fact Sheet must reflect the reconciled value as of the close of business on June 30.
- For example, if a physical count is not able to be performed at the close of business on June 30, then any purchases of additional inventory for resale and/or any sales activity from the date of the physical inventory count through the close of business on June 30 must be tracked and reconciled.
- This will enable you to arrive at a reconciled balance which properly represents the ending balance of inventory for resale on hand as of June 30.
- This reconciliation will also be essential if your physical count is ever audited.
- For further details, refer to the following policy and/or reference tools:
Contact
For further guidance, feel free to reach out to the applicable subject matter experts within the Fact Sheets section of UAFR’s Who to Ask list.
