What is opening stock in SAP SBO - SAP Business One?

SAP Term: opening stock

• Component: SBO

• Component Name: SAP Business One

• Description: The stock at the beginning of a financial period. It is equal to the closing stock of the previous period.

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• Key Concepts: 
  Opening stock is the amount of inventory that a business has on hand at the beginning of an accounting period. It is also known as beginning inventory or starting inventory. This amount is used to calculate the cost of goods sold (COGS) for the period and is reported on the balance sheet as part of the inventory asset account.
  
  How to use it: 
  In SAP Business One, opening stock is entered into the system by creating an inventory adjustment document. This document will include the item code, quantity, and unit cost of each item in the opening stock. Once this document is posted, it will be reflected in the inventory asset account on the balance sheet.
  Tips & Tricks: 
  It is important to ensure that the opening stock amounts are accurate and up-to-date. This can be done by regularly reviewing and updating the inventory adjustment documents in SAP Business One.
  Related Information: 
  The opening stock amount can also be used to calculate other financial metrics such as gross profit margin and return on investment (ROI). Additionally, it can be used to compare current inventory levels with previous periods to identify any discrepancies or trends.