This topic explains common reasons the parts subledger may not match the general ledger, and how to reduce those differences going forward.
The sections below describe common causes of parts-versus-G/L differences and how to avoid them when using IntelliDealer.
See also: Tips and Tricks for Parts Inventory Accuracy.
General Tips to Improve Accuracy
Use these tips to ensure accurate reconciliation:
-
Run the Inventory Summary (WPSPR02B) for inventory details, depending on report options) at least monthly. It reflects current inventory only; you cannot produce historical versions of this snapshot.
-
Balance parts inventory using the parts inventory summary by average cost, and cross-reference those values to the inventory account balances in your parts accounts. Use current on hand versus net on hand appropriately when you reconcile inventory.
-
Load vendors you use regularly as a parts price file so receipt and list pricing stay accurate.
-
For small updates to the price master, use Change Parts Information on Parts Utilities. In the legacy green-screen application, the same maintenance is available from MENU PART02, option 7 (Change parts data).
-
Ensure Part Adds (PartAdds) and the Master Price File (PARTPRC) tables use the correct defaults under Configuration > Parts, including sale account.
-
You can set a COSTCODE on a part so the COSTCODE table supplies default order discount pricing.
Parts per Package (PPK / PMPPK)
Each part number (inventory item) has a parts-per-package value. In most cases PPK is 1—that is, one sellable unit per package. If the parts profile is set too high, inventory value is inflated; if it is set too low, value is deflated. Cost on the part must correspond to PPK. Because cost drives receipting and average cost, review average cost whenever PPK changes. Parts whose master cost differs widely from average cost often indicate imbalance. See Parts Per Package (PPK).
Inventory Adjustment Option (Green Screen)
The legacy green-screen inventory adjustment option can change quantity on hand, but any adjustment made there requires a matching G/L entry outside the normal parts flow. VitalEdge recommends using that option sparingly because it does not provide a strong audit trail. Protect it with an operator code. Parts managers should establish policies for receipting from vendors, from other locations, and for customer returns—each scenario may require both an inventory and a G/L adjustment. To correct many posted order issues, use Order Correction after the order is receipted and in history.
Note: For GL-vendor (miscellaneous) parts, you can adjust quantities only through Increase Miscellaneous Part On Hand on Parts Utilities. All other quantity updates should go through the Inventory Count process or Parts Invoicing Details using the special customers and transaction types your dealership configures.
Wrong Vendor or Sale Account
If a part has the wrong vendor or sale account, parts reports (inventory summary, parts management, and others) can be skewed. Many dealerships use separate G/L sale accounts per parts vendor so financials and parts reports can be tracked by line. If reconciliation is difficult, consider splitting vendors across accounts so you can see which lines drive variances. Confirm vendor and GL parts on the Parts Profile so real parts are not omitted from the inventory summary.
Default Cost of Sales Percentage
Parts are relieved from inventory using average costing, not LIFO or FIFO. For a short definition and example of how average cost is calculated, see Average Cost in the glossary. For equations used when inventory is valued at average cost, see the Average Cost table under Report Options – Inventory Summary in Report Options.
-
When a part is sold and average cost is five cents or more, the inventory G/L account is credited at average cost.
-
When a part is sold and average cost is zero, the system uses net cost (or landed cost when cost codes apply).
Discounts
If vendors give dealer discounts, parts and accounting should agree on which costs are loaded. For example, if a vendor allows 5% off, apply that discount on the parts order so receipted cost is correct. You can default costing by vendor through the Cost Code table, or on parts order maintenance enter 05.00% in the first six positions of the Comments line to receipt at 5% of the net cost on the order. For non-percentage discounts, you can override cost on parts order maintenance to match the amount you receipt at.
Breaking Bulk Units
Parts bought in bulk and sold in smaller increments are easy to mis-receipt. For example, if part CHAIN01 has a net cost of $1,000 and PPK of 500 for a roll, but you receipt a $500 purchase at $1,000 by mistake, average cost and margin will be wrong. Run a list of parts with PPK > 1 each month to catch errors. See Parts per Package (PPK / PMPPK).
Selling Miscellaneous Parts
Many dealers use a miscellaneous part number for small items. Keep this to a minimum; heavy use of miscellaneous parts increases the chance of discrepancies—the more you sell through those numbers, the larger the discrepancy can be.
Parts Transfers
With parts invoicing, accounting for the default transfer path often runs when the sending store invoices the transfer. If the receiving store cancels the order or receipts a different quantity, inventory can already be out of balance. You can configure alternate parts transfer accounting (for example, using an accrual or transfer-in-transit treatment so the sending location is not relieved until the receiving location receipts). For setup and entry behavior, see Parts Transfer Accounting Options and System Settings for your location.
Parts Price Updates
Keeping price files current is critical for accurate receipting and selling. If list and cost are not maintained, average cost and margins will be affected.
Accounts Payable Voucher Entry (Paying for Parts)
When accounts payable records vendor payments, amounts should match what was receipted in parts. The Parts Accrual Overview describes optional accrual posting. If you enter the PO number on the Key A/P voucher screen to match the parts PO, the clerk can compare receipted totals to the vendor invoice. The CMBR1 table can print a P/O receiver report when parts receipt an order—attach it to the packing slip and forward both to A/P with the vendor bill.
Parts Returns
When you process returns in IntelliDealer, relieve inventory at the credit you expect. If credit and cost differ, accounting must post the difference to the correct accounts so inventory and G/L stay aligned. For one vendor-return workflow, see Recording a Vendor Parts Return.
Other Reports to Help with Balancing
PAR127A—Parts Cost of Sale Report
You can activate PAR127A to run with parts billing and show margins for parts on the billing run. Limit output to margins below or above thresholds so you can focus on exceptions. Activate the report through the DIVTAB table (PARTS COSTING option set to J) and, for margin ranges, the CMBR1 line PAR127(A) MARGIN RANGE. Sample output: PAR127A.
PAR029—Parts Management Report
This report is produced at parts month end. It shows inventory values and other fields useful for checking that parts inventory matches the G/L. You can group vendors or sale accounts using the PARTGRP table and branch totals using PARTGRPB; see Report Groupings. Sample: PAR029.
WPSPR02B / WPSPR04A—Inventory Summary and Inventory Details
From Parts Reports, these correspond to Inventory Summary (WPSPR02B) and Inventory Details (WPSPR04A). They show net cost, average cost, and list. Run at least monthly so discrepancies are corrected quickly. The PDF viewer may also label this report family as PAR054 in some contexts; the report IDs above match Parts Reports and the procedure Creating an Inventory Summary Report.
PAR014—Parts Daily Error Control Report
Review this report daily. Pay special attention to newly added parts to confirm cost, list, vendor, sale account, and bin. Sample: PAR014.
Revision: 2026.04