> ## Documentation Index > Fetch the complete documentation index at: https://www.adorabl.info/llms.txt > Use this file to discover all available pages before exploring further. # Inventory counts > Run cycle counts and full physical inventories, review variances, and post approved adjustments to stock and the ledger. Inventory counts compare what is physically on the shelf with what adorabl thinks is on hand. Start a count sheet for a warehouse, record counted quantities, review the variances, and post. Posting adjusts stock on hand and books the variance to the account you choose. Use a **cycle count** for a slice of the warehouse on a regular rhythm, or a **full physical inventory** when you count everything. ## Prerequisites * A [warehouse](https://www.adorabl.info/products/warehouses.md) with stock items. If the warehouse uses [bin locations](https://www.adorabl.info/products/bin-locations.md), every variance line needs a bin. * Each counted item has a posting cost — a **standard cost** or a running **average cost**. See [Costing methods](https://www.adorabl.info/products/items.md#costing-methods). * A GL account to absorb variances, such as an inventory shrink or cost of goods sold account. See [Segments](https://www.adorabl.info/books/setup/chart-of-accounts-setup.md). ## Count statuses | Status | Meaning | | - | - | | **Counting** | The sheet is open. Enter and save counted quantities. | | **In review** | Counting is done. A reviewer checks variances and approves. | | **Posted** | Stock on hand and the ledger are updated. The count is read-only. | | **Cancelled** | Abandoned without posting. | ## Start a count **1. Open Counts** 1. In the sidebar, open **Inventory**. 2. Click **Counts**. Tiles at the top show **Awaiting approval**, **Counting in progress**, and **Unposted variance lines**. Click a tile to scope the list; click again to clear. **2. Create the sheet** Click **New count** and fill in the scope: | Field | Notes | | - | - | | **Count type** | **Cycle count** or **Full physical inventory** — a label for reporting; both post the same way | | **Warehouse** | Required. One warehouse per count. | | **Count date** | Defaults to today | | **Sheet covers** | **Every stock item in the warehouse**, **Selected items**, or — when the warehouse uses bins — **Selected bins** | | **Reference** | Count sheet number, shift, or ticket reference | When you pick **Selected items** or **Selected bins**, a selection table appears. Tick the rows to include. **3. Generate the lines** Click **Save**. adorabl builds one line per item (or per item and bin) and snapshots the **System** quantity at that moment. Counting against a frozen snapshot keeps the variance meaningful even if receipts or shipments post while you count. The count receives its `COUNT-` number as soon as it is created. See [Next numbers](https://www.adorabl.info/admin-and-settings/next-numbers.md). > [!NOTE] > > Creating a count does not freeze stock. Receipts, shipments, and adjustments still post while the sheet is open. The sheet compares your counted quantity to the system quantity captured when the sheet was generated. ## Record counted quantities **1. Enter counts** On the count sheet, type the **Counted** quantity on each line. When the warehouse uses bins, pick **Bin** on the line first — the placeholder reads **Select bin**. The **Variance** column updates as you type — counted minus system. Leave a line blank if it was not counted; blank lines do not post. Add a **Note** on a line when the variance needs context. **2. Save as you go** Click **Save as Draft** (or the header **Save** icon) to store progress. The totals bar shows **Lines counted**, **Variance lines**, **Net units**, and **Net variance value** at the item's posting cost. **3. Submit for review** When counting is finished, click **Submit for review**. The count moves to **In review** and the lines lock for the reviewer. Set the **Variance account** on the header now or during review — posting requires it. Use **Reopen** if the reviewer sends the sheet back for a recount. ## Approve and post **1. Review variances** Open a count under the **Awaiting approval** tile. Scan the **Variance** column and the totals bar. Gains and shrink are both valued at each item's posting cost. **2. Approve & post** Click **Approve & post**. For every line with a non-zero variance, adorabl: * Posts an inventory adjustment that moves on-hand (and the bin balance) to the counted quantity. * Books a journal entry at the item's posting cost — a shortage debits the variance account and credits Inventory; an overage debits Inventory and credits the variance account. * Updates the running average for **Average (weighted)** items. The count shows its **Journal** reference and **Posted date**, and becomes read-only. Lines with zero variance and lines left blank do not post. Posted count adjustments appear on the item's **Costing** tab and in [Inventory transactions](https://www.adorabl.info/products/inventory-transactions.md) as adjustments sourced from the count. ## Cancel a count Use **Cancel count** from the overflow menu on a **Counting** or **In review** sheet. Cancelling discards the sheet and posts nothing. Posted counts cannot be cancelled — record a new count or an [inventory adjustment](https://www.adorabl.info/products/inventory-transactions.md) to correct a posted result. ## Example: Trail Ridge Outfitters Trail Ridge cycle-counts the **A** aisle at **Denver DC** every Friday. 1. The ops lead creates **COUNT-00012** — **Cycle count**, warehouse **Denver DC**, **Selected bins** `A-12-1` through `A-12-4`, reference `Fri aisle A`. 2. The counter enters quantities on a tablet. Bin `A-12-3` shows **System** `23` × `AP-3300-NV` and **Counted** `20`, a variance of `-3`. 3. The sheet is submitted with variance account **5150 · Inventory Shrink**. 4. The controller opens the **Awaiting approval** tile, reviews the `-3` line (`-$111.00` at the \$37.00 average), and clicks **Approve & post**. 5. On-hand at `A-12-3` drops to 20, and journal entry **JE-000461** debits **5150** and credits **1300 · Inventory** for \$111.00. ## Related guides > **[Inventory transactions](https://www.adorabl.info/products/inventory-transactions.md)** > > One-off adjustments and transfers outside a count. > **[Stock on hand](https://www.adorabl.info/products/stock-on-hand.md)** > > Verify quantities after a count posts. > **[Bin locations](https://www.adorabl.info/products/bin-locations.md)** > > Bin structure for warehouses that count by location. > **[Items](https://www.adorabl.info/products/items.md)** > > Costing methods and the posting cost used to value variances. ## Troubleshooting > **Approve & post is blocked — select a variance account** > > Set the **Variance account** on the count header before posting. Pick an active detail account; summary accounts are not accepted. > **A line needs a bin location** > > The warehouse uses bin locations, so every line with a variance must name a bin. Choose the bin on the line, or start the count with **Selected bins** so each line is already placed. > **An item needs a posting cost before posting** > > The item has no standard cost (or no average cost yet). Enter a cost on the item's **Details** tab, then post the count again. See [Items](https://www.adorabl.info/products/items.md#costing-methods). > **Submit for review is disabled** > > Record at least one counted quantity and clear any red cells on the line grid. > **The system quantity on the sheet is out of date** > > Expected. The sheet snapshots on-hand when it is generated. If a receipt or shipment posted after that, cancel the sheet and start a new count, or note the movement on the affected line before approving. > **I need to change a posted count** > > Posted counts are read-only. Record a new count, or post an [inventory adjustment](https://www.adorabl.info/products/inventory-transactions.md) with reason **Cycle count**. This documentation is built and hosted on [Mintlify](https://mintlify.com), a developer documentation platform.