Financial Forecast for Inventory Based Product
yannis: Anything Financial can benefit from Pacioli's treatise (http://en.wikipedia.org/wiki/Luca_Pacioli) :)!If you modeling using a spreadsheet or by pulling records off a database or an old and ancient ledger the method is the same:- When you Purchase   debit stock,  credit Creditor

-  When you Pay   debit Creditor, credit Bank

-  When you Sell    credit stock,  debit customer + 
      debit profit (difference between sales price 
      and purchase price)

-  When you receive the money (if you selling on credit)    credit debtor, debit bank


When I started in coding normal accounting methods seemed long and convoluted! However, as the years went by I discovered that this is the easier way to visualize the flow of financial transcactions and it automatically caters for time.We should call any db based on this as a Pacioli's Datastructure:)As a bonus, the method includes a test. The sum of all the above transcactions === 0;