Odoo Stock Account - Inventory Valuation & Accounting

Inventory accounting integration with automated valuation and COGS recording

The Stock Account module bridges inventory management and accounting in Odoo. This module automatically records accounting entries when inventory changes occur, calculates cost of goods sold and values inventory using standard methods.

With full automation capabilities, Stock Account ensures accuracy and transparency in warehouse financial management, helping businesses comply with accounting standards and make effective business decisions.

Inventory Valuation
COGS Recording
FIFO Costing
Average Costing
Automated Entries
Valuation Reports
Accounting Integration
Cost Management

Inventory Valuation Terminology

Inventory Accounting Terms

Fields/ButtonDescription
Giá vốn hàng bán / Cost of Goods Sold (COGS)Cost of goods that have been sold
Định giá tồn kho / Inventory ValuationFinancial value of inventory on hand
Phương pháp FIFO / FIFO (First In First Out)First received goods are sold first
Giá bình quân / Average CostWeighted average cost method
Giá thành chuẩn / Standard PriceFixed price for product
Tài khoản tồn kho / Stock Valuation AccountAccount for inventory value
Tài khoản đầu vào / Stock Input AccountAccount for goods received
Tài khoản đầu ra / Stock Output AccountAccount for goods delivered
Chênh lệch giá / Price DifferenceDifference between purchase and cost price
Định giá lại / RevaluationInventory value adjustment

Costing Methods

Valuation Methods

Description / MethodUse Case
Fixed price, does not change with movements / Standard PriceStable price products, easy management
First in first out, COGS from oldest lot / FIFOPerishable goods, accounting compliance
Weighted average after each receipt / Average CostHomogeneous goods, fluctuating prices

Accounting Account Structure

Stock Account uses these main accounting accounts:

Steps

  • 1. Stock Valuation Account: Records inventory value (Account 156)

  • 2. Stock Input Account: Records goods received (Transit account)

  • 3. Stock Output Account: Records goods delivered (Transit account)

  • 4. Expense Account: Records cost of goods sold (Account 632)

  • 5. Price Difference Account: Records price differences (Account 631)


Accounting Recording Process

Automated recording process for goods receipt:

Steps

  • 1. Validate receipt from supplier

  • 2. System calculates receipt value (quantity × price)

  • 3. Auto-create journal entry: Debit Stock / Credit Input

  • 4. When creating vendor bill: Debit Input / Credit Payable

  • 5. Record price difference if bill price differs

  • 6. Update product cost (FIFO/Average)


Key Features

Key points

  • Automatic journal entries on stock movements

  • Support 3 costing methods: Standard, FIFO, Average

  • Automatic cost of goods sold calculation

  • Real-time inventory valuation reports

  • Purchase price and cost price difference management

  • Full integration with Accounting module

  • Location-based inventory valuation support

  • Complete audit trail for all transactions


Product Configuration

Product Valuation Setup

ConfigurationDescription
Product CategorySet default costing method and accounts
Costing MethodChoose Standard Price, FIFO or Average Cost
Inventory ValuationChoose Manual (periodic) or Automated (real-time)
Stock Valuation AccountAccount for inventory value recording
Stock JournalJournal for inventory entries

Valuation Reports

Stock Account provides important reports:

Key points

  • Inventory Valuation: Inventory value by product/location

  • Stock Valuation (At Date): Inventory value at specific date

  • Stock Move Valuation: Detailed valuation per transaction

  • Inventory Valuation Pivot: Multi-dimensional inventory analysis


Real-world Scenario

Example of FIFO costing calculation:

Steps

  • 1. Receive 100 Product A at $10 → Stock: 100 × $10

  • 2. Receive 50 Product A at $12 → Stock: 100×$10 + 50×$12

  • 3. Deliver 120 Product A → COGS: 100×$10 + 20×$12 = $1,240

  • 4. Remaining stock: 30 units × $12 = $360

  • 5. System automatically records COGS journal entry


Best Practices

Steps

  • 1. Choose costing method appropriate for your industry

  • 2. Configure accounting accounts per standards

  • 3. Use Automated Valuation for high accuracy

  • 4. Review valuation reports regularly

  • 5. Reconcile inventory value with accounting monthly

  • 6. Backup data before changing costing method

  • 7. Train staff on accounting recording process


System Requirements

To use the Stock Account module:

Steps

  • 1. Install stock_account module

  • 2. Configure Chart of Accounts with inventory accounts

  • 3. Set up Stock Journal in Accounting

  • 4. Configure Product Category with costing method

  • 5. Set up accounts for each product category

  • 6. Enable Automated Inventory Valuation