Understanding a livestock trading timetable

The livestock trading timetable supports management control by monitoring livestock inventory at crucial times throughout the year.​

It is utilised to calculate the enterprise’s gross profit, a vital element of the income statement in management accounting.

How to use a livestock trading schedule

A livestock trading schedule monitors the movement of livestock inventory by category over a specified period. Some businesses track these movements monthly or quarterly, but if you are just starting, it is best to run the livestock schedule over a financial year.

The livestock trading schedule supports management control by tracking inventory at critical points throughout the year. It is essential for calculating the enterprise gross profit, a key figure in the income statement used in management accounting.​ Gross profit helps adjust earnings by considering not only sales but also purchases and changes in the value of livestock inventory.

What you will need to use this tool:

• Accurate records of livestock numbers, preferably categorised by livestock class. If such records are not available, this is an excellent starting point for improving your inventory management.
• Sales numbers and sales values per head.
• Purchase numbers and purchase values per head.
• Records of births or natural increases and estimates of deaths.

What are the outputs of the tool?

• A clear and concise record of inventory showing livestock movements.
• A livestock reconciliation to verify the accuracy of the numbers.
• A calculation of gross profit that can be incorporated into your management accounts.

Downloadable Livestock trading schedule

Download How to use a livestock trading schedule