When is a Physical Inventory usually Taken?

A physical inventory is usually taken during periods when products/goods are not being sold or received and at the conclusion of the firm’s fiscal year. Additionally, increasing the frequency of taking it can enhance exactness.

It is recommended to conduct physical inventory counts on a regular basis. This ensures accurate accounting by helping you discover inventory concerns promptly.

Optimal Procedures for Conducting a Physical Inventory:

1. Select the appropriate counters.
2. Ensure everyone is informed.
3. Provide training for your employees.
4. Clearly label your warehouse or storage facility.
5. Utilize inventory tags.
6. Automate the procedure.
7. Ensure your staff are treated with respect and fairness.