Inventory: a subsistence form
Since ancient times the Egyptians and other peoples had the habit of storing foods for drought or calamities. In this way, inventories arise, as a way of dealing with scarcity times and also guaranteeing the subsistence and development of their normal activities. This form of storage of all indispensable goods and foods, motivated the presence of inventories. According to (ucha) the inventory is a periodic registry of goods and other objects belonging to a company and that is carried out from a lot of precision and neatness in the explication of the data.
For (Schroeder) an inventory is a number of materials stored to facilitate production or meet consumer needs in the future. In his book "General Accounting 2" (Quintero) exposes two definitions focused on different points of view, in legal field the term inventory refers to the procedure used for the counting of the goods that an organization or a person possesses, while from the Accounting point of view The word inventories takes a limited meaning, by addressing only the goods that the organization has with the objective of being marketed. The inventory is a set of merchandise that the company has for commercialization in a specific economic period.
It must have an efficient administration, since according to Ehrhardt and Brigham it has two fundamental objectives: to guarantee the operation of the company through its available inventory and conserve optimal levels that allow minimizing total costs (order and maintenance). A low inventory increases order costs, while high inventories increases maintenance costs. The correct administration of the inventory serves to prevent financial problems within companies, is a fundamental part of its productivity, since it is the circulating assets of lower liquidity that they handle and that also cooperates to generate profitability.
It is the engine that moves the organization, because it is the basis for the commercialization of the company that allows you to make profits. When analyzing the different criteria of authors, it is established that the inventory is an important piece in the assets of the organizations, in such a way that it composes much of the source of income, either in industrial or commercial companies, influencing the financial results of the organization. Objectives of inventories: As expressed (squire) the objective of the inventory is to know the exact condition of the goods, verify if the physical and accounting units coincide, locate obsolete materials or in deterioration, meet the needs of space, facilities, between others.
The primary objective of inventories is The purchase of more merchandise. (Peralta and RESABALA). From the above definitions it is established that the inventories aim excesses or merchandise deficit for sale.
The inventories are relevant in all companies and these change depending on the activity of the company, the constitution of this asset is a variety of articles and therefore are classified according to their use in the following types: Inventory of raw material.- Are the values of the materials acquired for transformation or production. Product inventory in process.- They symbolize the values of semi-elaborated products that require processes to become finished products for marketing. Inventory of finished products.- They are bought goods that do not need a transformation process.
Initial inventory.- It is that inventory that reveals the number of stocks with which a company begins the accounting period. It is the final inventory of the previous accounting period. Final inventory: represents the merchandise inventory with which the accounting year ends. Physical inventory: is to count, measure and write down each and every one of the different kinds of goods or goods that are in the date of inventories. Inventories in transit: There are because the material must move from one place to another. They are used in order to support operations to supply the ducts that link the company with its suppliers and their clients respectively.
Internal control originates at the end of the 19th century, due to the concern of business owners, since due to the increase in production, problems were difficult to address both in the administration, production and commercialization, consequently to This were forced to delegate functions and establish control systems that reduce errors and frauds, in addition to protecting the interests of their companies. Internal control is of interest in most organizations, although with different terminologies and approaches. According to (Gómez) internal control is considered an important tool for compliance with objectives.
The efficient use of resources and to obtain productivity, in addition to providing fraud, errors, violation of accounting, fiscal and tax principles. To (Tovar) an internal control refers to the procedures carried out for automatic verification and the coincidence of information provided by the different operational areas or departments. The author (Perdomo) expresses that internal control is a set of procedures carried out by the employees of the organization, established to provide security in achieving objectives in addition to being effective and efficient in operations, providing information reliability and the compliance with the norms and laws.
The internal control contains the organization plan and a set of methods and processes ensuring that the assets are correctly protected, that the accounting records are reliable and that the entity’s activity is effective effectively according to the guidelines set by the administration.) According to (Poch) internal control, it is a term that we use in order to explain the actions received by the directors of the organizations, administrators or managers, to analyze, monitor and evaluate the operations in the entity. The internal control system includes a strategic plan of the entity and all coordinated methods.
And the measures adopted within an entity in order to ensure their assets and verify the reliability of accounting data. Starting from the previous statements, it is established that internal control is a tool that through processes and manuals will help us achieve efficient management of our inventories, thus guaranteeing the achievement of the objectives and avoiding problems for the company. Inventory control; According to Espinoza, an inventory control is a fundamental instrument within modern administration, since its use facilitates organizations to have knowledge of existing and available merchandise for sale in a specific place and time.
As well as storage capacity in industries. Inventory control interprets all processes that collaborate to the supply, accessibility and storage of products in a company to minimize the times and costs related to its management: it is a mechanism through which, the organization efficiently manages the movement and merchandise storage, in this way as the flow of information and resources that result from it.