## Stores Ledger — Format & Recording Rules
The Stores Ledger maintains receipts, issues, and running balance with both quantities and amounts.
### Standard Header
```
Material Code: Maximum Qty:
Bin No: Minimum Qty:
Material Description: Ordering Qty:
Location:
```
### Columns
| Date | Receipts (GR No, Qty, Rate, Amount) | Issues (SR No, Qty, Rate, Amount) | Balance (Qty, Rate, Amount) |
### Treatment of Common Transactions
| Transaction | Receipts | Issues | Balance |
|---|---|---|---|
| Opening stock | xx | — | xx |
| Received / Purchased | xx | — | xx |
| Issued | — | (xx) | xx |
| Return to supplier | — | (xx) at original purchase rate | xx |
| Return from department | xx at original issue rate | — | xx |
| Normal loss | — | (xx) at no value (cost spread over remaining good units) | xx |
| Abnormal loss | — | (xx) at value (charged to Costing P&L) | xx |
| Closing stock | — | — | xx |
### Important Notes
1. Replacement is also a fresh supply — record it as a new receipt at current rate.
2. Transfer between two departments → No entry in stores ledger (it stays outside stores).
3. If our dept returns goods (to stores) → it is not a fresh supply — record at the rate originally issued.
### Valuation of Stock — Methods
| Method | COGS Valued At | Closing Stock Valued At |
|---|---|---|
| FIFO (First In, First Out) | Goods purchased at the start (oldest) | Goods purchased latest |
| LIFO (Last In, First Out) | Goods purchased latest | Goods purchased at the start (oldest) |
| Simple Average | Average price | Average price |
| Weighted Average | Average price (volume-weighted) | Average price (volume-weighted) |