Stock ledgers mapping

Can any one explain complete mapping for stock ....during sale / purchase

like for ex: 
1) when we purchase , what are the stock related ledgers are  affected 
and  under which group (assets, liabilities, income, expense) this ledgers are placed.
 
similarly for sale .
 
2) Is the stock closing ledger is affected after every purchase / sale transaction ?
 
3) How to enter opening stock ?
 
4) can the  stock related ledgers display in Trial balance?
 
5) While calculating the worth of stock ...how to take the price per unit for the stock
is this last purchase transaction value or avg price 
If in the case of avg price , then how to calculate that ? 
 
Was wondering if anyone could explain me this.....
 
Assumption: It is a small trading business , where purchasing and selling goods happends and not a manufacturing company 
 
Replies (1)

Closing stock will effect after purchases and sales of goods. Opening stock +  Purchases - purchase returns - Sales + sales returns = closing stock. 

Present year closing stock becomes opening stock of next year. 

closing stock is an adjustable entry so no account appears in trial balance. 

stock calculations normally on lower prices or average prices.but not market price. that is why it cannot appear in the trial balance. 

for stock calculations there are 3 methods. follow cost accounting rules.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 24 August 2026
Article Assistant

M/s.S.G.Salecha & Co.

Mumbai

CA Inter

View Details
Company
28 August 2026
Assistant Manager

NRS AND ASSOCIATES

Kozhikode

CA Inter

View Details
Company
24 August 2026
Semi-Qualified CA/CA Finalist - Tax, GST, Audit & Accounts

Bharat Shah & Associates

Mumbai

CA Inter

View Details
Company
09 September 2026
Semi Qualified CA / CA Inter - 2 Groups Cleared

Getmyca Consultant Pvt Ltd

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 16 September 2026
Article Assistant

MANUJ SHARMA AND COMPANY

Noida

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
CA Article Assistant/CA Drop Out/Accounts Executive

PARV & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 15 September 2026
Freelance Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
17 September 2026
Chartered Accountant

Dass Gupta & Associates

Gurgaon

CA

View Details