The Theoretical Item Cost by GL Code (Stacked Locations) report provides a comprehensive table displaying the actual and theoretical cost of inventory items as well as the variance between the two. This report can be accessed from the Reports module and the Inventory module under the ‘Reports’ tab. 


Report Usage


This report emulates the base Theoretical Item Cost by GL Code report and can help in identifying inefficient use, loss, theft, or over-portioning of your inventory items per selected inventory cycle. Unlike the base report, this report has an added option to group the information by location, which can be beneficial in evaluating and comparing the performance of multiple locations within a location group. 


Report Features


  • Filter by location(s) or location group(s).
  • Filter by date. This report can be run for any specified length of time.
  • Filter by Inventory Cycle.
  • Select whether or not to group by GL Code, inventory item, and/or location. If you choose to group by only one metric, the report displays the actual and theoretical cost per selected metric. If you choose to group by more than one metric, the report will sort the data first by GL Code (or inventory item if you decide not to group by GL Code), followed by inventory item, and then broken down by location.
  • Use the ‘Sort’ drop-down field to select the manner in which you would like the report to be sorted. Note: If you decide to not group by location, the report will not sort by “Location ID” or “Location Name”.
  • Select whether or not to show items that only belong to the selected inventory cycle.
  • Select whether or not to hide items with zero activity.
  • Select whether or not to view all items or only the top 20% of AP purchases. “All Items” is selected by default.
  • Filter by GL Code by selecting the desired GL Codes(s) or by selecting “Select All”. Additionally, you may select “Clear” to clear all selected GL Codes. By default, all GL Codes are selected.
  • Filter item usage by selecting all items, items with zero usage, or items with non-zero usage. “All Items” is selected by default. This information is reported in the “Sold” column of the report.
  • Filter item purchases by selecting all items, items with zero purchases, or items with non-zero purchases. “All Items” is selected by default. This information is reported in the “Purchased” column of the report.
  • Filter on-hand inventory items by selecting all items, items with zero usage, or items with nonzero usage. “All Items” is selected by default. This information is reported in the “Beginning” column of the report. 


Frequently asked Questions 


Q: How are actual cost and theoretical cost calculated?
A: Actual cost is calculated by adding AP purchases to starting inventory, the “Beginning” column of this report, and subtracting items sold and ending inventory. Theoretical cost is calculated by running the items sold in the POS through your recipes so that it calculates the total dollar amount by the cost of each ingredient.