In general, the stock ledger is a period-oriented repository of all inventory activity and it feeds financial reporting (for example, ending inventory and cost of goods sold), management reporting (for example, sales, margins, ending inventory) and any other business process that takes into account inventory information (for example, open-to-buy, pricing). It provides an audit trail and allows for corrections and adjustments to inventory. The stock ledger receives the inventory information, applies the inventory valuation method defined for use, and then calculates the results.