If you track inventory, Finocket folds your stock into the financial statements the way an accountant prepares final accounts: closing stock appears as an asset on the balance sheet, and the P&L shows cost of goods sold and gross profit — all at weighted-average cost.
How it's worked out
Stock is valued at weighted-average cost — the method accepted under Indian (Ind AS 2), Australian and US standards alike. From your stock ledger Finocket computes:
- Closing stock — the value of everything on hand as at the report date.
- Cost of goods sold = opening stock + purchases during the period − closing stock.
- Gross profit = sales − cost of goods sold.
Turning it on
On the profit & loss and balance-sheet screens there's an Include inventory switch. It's on by default once you have any stock movement, and you can turn it off to see the plain, posting-only statements.
What “presentation overlay” means
The inventory figures are computed from your stock ledger the moment you open the report — they don't create new ledger entries. Your trial balance, cash flow and audit trail keep showing only real postings, and the balance sheet stays balanced to the paisa. Because it reads your stock ledger, keep inventory receipts and sales up to date for the numbers to be right.
Access & control
Anyone who can see the statements sees the overlay — owners and assistants in full, an invited accountant read-only. Requires the Inventory module with stock-tracked products; without stock movements the switch simply has nothing to add.
Related: Inventory & stock, Financial statements.