Nett Rate of a Stock Item in TallyPrime: 3 Steps + Example

In TallyPrime, the Stock Query report doesn’t directly display the “Net Rate” for a stock item by default.

However, you can configure the report to show the “Nett Rate,” which represents the average cost or selling price per unit considering applicable discounts or adjustments.

Here’s how to achieve this:

1. Displaying the Nett Rate in Stock Query Report:

  1. Access the Stock Query report using either method mentioned in the previous explanation (refer to “Viewing Stock Query report in TallyPrime”).
  2. Press Ctrl+B (Basis of Values) to configure the report settings.
  3. Under the “Set Nett Rate” option, ensure it’s marked as Yes.

2. Understanding Nett Rate of a Stock Item in TallyPrime:

The Nett Rate represents the effective cost price (for purchases) or selling price (for sales) per unit after considering factors like:

  • Discounts: Any discounts received from suppliers (purchases) or offered to customers (sales).
  • Freight Charges: If freight charges are included in the purchase price, the Nett Rate might reflect the cost after deducting these charges (depending on your inventory valuation method).
  • Taxes: Depending on your configuration, taxes might be included or excluded from the Nett Rate.

3. Example of Nett Rate in TallyPrime:

You want to view the Nett Rate for your “T-Shirt (M)” stock item, considering a 10% discount received from the supplier.

  • In the Purchase Bill for this item, the gross cost might be Rs. 500 per unit.
  • With a 10% discount, the Nett Rate displayed in the Stock Query report (after configuring for “Set Nett Rate: Yes”) might be Rs. 450 (500 * (1 – 10% discount)).

4. Benefits of Displaying Nett Rate of a Stock Item in TallyPrime:

  • Provides a more accurate picture of the effective cost or selling price per unit.
  • Helps in analyzing profitability by considering discounts and other cost factors.
  • Enables you to compare prices across different transactions for the same item.

5. Additional Considerations:

  • The specific calculation of the Nett Rate depends on your inventory valuation method and discount application settings in TallyPrime.
  • You can further analyze the impact of discounts and other adjustments by drilling down into individual transactions from the Stock Query report.

By understanding how to display the Nett Rate and its significance, you gain a deeper understanding of the true cost or selling price of your stock items in TallyPrime, leading to better inventory management and pricing decisions.

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *