Highlight the documents used in store keeping

Documents used in store keeping:
i. Bin card
A bin is simply a container, receptacle, drawer, shelf, cupboard, or room in which any
stock item is physically held. Each stock item has a separate bill allocated to it. One bill
should hold one particular stores item only. One bin card is maintained for each bin. In
larger stores, the bin card is kept next to the relevant bin but in smaller stores all bin cards
may be retained in the stores office. All entries are made in the bin cards in terms of
quantities only, values are not shown.
Item name should be very specific to avoid confusion and to ensure proper identification
the product code should also be clearly shown.
The unit is the standard measure in which the material is received and issued. It could be
kilogram, a liter, a tin of 5kg etc. It is important to note that all entries in the bin card are
made in terms of units.
If bin cards are held in the stores office, showing bin no. on the card helps in location of
the relevant bin. Maximum, minimum, and re-order levels are shown on the cards to
enable the stores personnel to regulate the ordering and issues of stock items accordingly.

ii. Stock ledger
This is kept in the costing department and records movements in both physical quantities
and monetary values of all stock items. It is maintained on the same debit and credit
principles as are all financial ledgers. A balance column is also maintained to show both
the quantity and value of items in stock at any given time.

iii. Perpetual inventory system
This refers to a procedure which ensures that the quantity and or value of each stock item
at any given moment is readily available. This is a very useful tool of stores control as it
assists in immediate verification whenever a regular or surprise stock card is carried out.
Perpetual inventory system is only a stock records technique which prescribes that
balance must be computed and recorded after each receipt and issues. This is not stock
taking.

iv. Stock cards
It is an alternative to a bin cards, kept in a loose- leaf holder or tray file in stores or cellar.
It is kept for every item and contains the information on a bin cards but in addition, it
contains the details of the re-ordering quantity of a commodity plus signal devices (a
small red plastic indicator) which draw attention when a commodity is at low level. It
should be updated daily and check that the balance on the card agrees with the actual
quantity of the item held in the stores or cellar.

v. Departmental requisition book
Each department needs to be provided with a requisition book in order to draw goods
from the stores. Whenever goods are drawn from the stores a requisition must be filed at
when a storekeeper issues the goods, he will check them against the requisition and tick
them off.
Details found in requisition sheet
- Serial number
- Name of department
- Description of goods received
- Unit
- Date
- Price per unit
- Quantity of goods issued
- Cash column
- Signature

vi. Order book

This is a duplicate and has to be filled in by the storekeeper every time he or she wishes
to have goods delivered. Whenever goods are ordered, an order sheet must be filled in
and sent to the supplier, and on receipt of goods they should be checked against both
delivery note and duplicate order sheet. All order sheets must be signed by the
storekeeper. It contains;
- Name and address of the catering establishment
- Name and address of the supplier
- Serial number of the order sheet
- Quantity of goods
- Description of the goods to be ordered
- Date of delivery if a specific date is required
- Signature

vii. Stock sheets
Stock should be taken at regular intervals of either one week or more ie one month.
Spot checks are advisable about every three months. This should be done by an
independent person thus preventing the chances of pilferage and fiddling taking place.
Details contain;
- Description of goods
- Quantity received, issued, and remaining balance
- Price per unit
- Cash column
Stock sheet is usually printed in alphabetic order.

viii. Transfer note
It is used by an individual department to order for items from either department without
recording from stores.

ix. Breakage or damage goods book
It is used to record all goods damaged. It contains; name of the item, cause of damage,
date of the accident, the staff in charge, remarks.

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NatalieR answered the question on May 16, 2022 at 07:54