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Tally stock

KK (Finance Professional) (49 Points)

13 April 2016

I have purchase goods (Textiles) and done making and sell the same (Readymade Shirts) how to show the same in tally as stock will show Possitive for textiles and negative stock for readymade shirts, how to adjust the same

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5 Replies

Shubham Gupta (Business Consultants) (2077 Points)
Replied 13 April 2016

Hello Sir,

You can convert textile intially bought into Number of pieces after taking reducing for wastage.

for examples if you bought textiles 100 mtr

then you can convert into pieces that would be made out of that like if a shirt take 1.5 mtr.

1 Like

Ruchi (CA) (1410 Points)
Replied 13 April 2016

You would have to pass the entries through stock journal or manufacturing journal wherein you must put all the input material used to make the garments on the consumption side and made ups/shirts on the finished goods side. This way your cloth will decrease and ready made garments will increase and hence the imbalance would be corrected.

2 Like

KK (Finance Professional) (49 Points)
Replied 14 April 2016

Thanks to Subham and Ruchi for guidance.

i am buying material in meter (Purchase) 100 Meter x 100 Rs. = 10000

making charges (direct Expenses) = 1000

----------

Total Cost 11000

=====

and selling as Readymade Shirts (Sales) 50 shirts x 240 12000

-------

Profit 1000

=====

Now when checking closing stock it show Stock as (+) for material as it was used for shirts but there is no output in tally for material

stock as (-) for Shirts as there is no input of shirts (As actually material converted into readymade)

how to show this two different category so that my stock becomes nil and my direct expenses get absobed.

Thanks in advance.

ashish (article) (151 Points)
Replied 14 April 2016

In tally, one is accounting voucher and other is inventory voucher.... In inventory voucher do the entry of stock transfer from say yarn to ready made garments.... For that do calculate the metres of output + wastage and then do the stock transfer entry

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Ruchi (CA) (1410 Points)
Replied 14 April 2016

Yes, you must pass either a stock journal entry or manufacturing journal entry as per your suitability and convenience. On left hand side of stock journal which is consumption or outwards movements are shown , you should put your input material like cloth etc and on right hand side which shows finished goods you must put the shirts or whatever finished goods arise therein. Here you can pass accouting journal entry for direct expenses.

Or you also do this through manufacturing journal where all the material and direct expenses can be shown in one journal.

1 Like