Valuation & planning

Inventory is capital. This page explains the numbers APEX keeps per part — what they mean, where they come from, and how to plan replenishment and sales commitments off them.

Roles: every dollar figure on this page is cost data, visible only to owners, admins, and members whose role grants View inventory cost (Team → Roles). Without it, APEX redacts the money across the module — the value KPIs, the list’s Value column, AVG COST and ON-HAND VALUE, the tables’ Unit $ columns, and the entire Cost layers section. Quantities, reorder status, and free-to-sell always show.

Cost layers

Every receipt opens a cost layer: the quantity received at that receipt’s unit cost. The part detail page lists them newest first.

Screen: The Cost layers table on the part detail page — columns Unit $, Recv (quantity received), Remain (quantity still unconsumed from that layer), and Received (the date).

When stock ships or is issued, APEX draws it down oldest layer first and books the cost of goods from the actual layer costs consumed — not from an estimate. That is what makes the margin on a sale provable: the cost side traces to real receipts.

Cost method, average cost, and on-hand value

The part header shows three valuation figures:

• COST METHOD — the part’s configured costing convention: SPECIFIC (each unit keeps its own cost — the natural fit for serialized rotables), FIFO (first in, first out), or WEIGHTED_AVG (a blended average — the default for new parts).
• AVG COST — the weighted average unit cost of what is on the shelf right now. It moves with every receipt and every consumption.
• ON-HAND VALUE — on-hand quantity × average cost. Summed across the catalog, this is the INVENTORY VALUE figure on the Inventory screen.

Reorder planning

A part can carry a reorder point — the on-hand level below which it should be replenished.

• On the list, the part’s Reorder column flips from OK to an amber LOW pill and the part number chip turns amber.
• The BELOW REORDER figure in the stat strip counts every part currently under its point — a standing shopping list for the buyer.
• On the part detail header, REORDER PT shows the configured level.

Free to sell, on hand vs. reserved

Selling and repairing out of one stock pool means a unit can be on the shelf and already promised. APEX keeps the two ideas separate:

• On Hand — what is physically in stock.
• Reserved — quantities committed to open work orders. Reservations are made from the work-order side: Work Orders → Material readiness → Reserve books stock against a WO’s material demand. See the Work Orders guide.
• Free to sell = serviceable on-hand − open reservations. This is the number a salesperson can safely promise.

The Free to sell pill on the Inventory list is color-coded:

What the CFO sees

• INVENTORY VALUE on the Inventory screen is the on-hand book value at average cost, live.
• NON-SERVICEABLE shows the capital parked in AR/BER condition — material that needs a shop visit or a write-off decision before it earns anything.
• Receiving a purchase order increases inventory on the books immediately (with an accrued payable that the vendor bill later clears); the cost hits the P&L only when stock ships or is consumed, at actual layer cost.
• The aging heatmap is the slow-moving-stock radar: value sitting in the 181–365 and 365+ columns is where impairment conversations start.