Volume Management
Financial logs for certified material track the volumes of input and the corresponding claims assigned to finished products. Use of a credit allocation ledger allows a mill to manage the balance between certified input and certified output under a credit system. This document records every purchase of certified pulp and every sale of certified paperboard to ensure that no more claims are made than were earned.
Accounting Mechanism
Credits are added to the account upon receipt of valid invoices from certified suppliers. When a production run for a customer requires a certified claim, the appropriate amount of volume is deducted from the running total. This ledger must be updated at least monthly to reflect the actual inventory levels and to prevent the sale of certified goods that exceed the available credit balance.
Auditors scrutinize these entries to verify that the conversion factors used to translate raw pulp into finished board are accurate and realistic. A negative balance indicates a breach of the chain of custody rules.
Compliance Proof
Maintaining this record provides the evidence needed for annual certification audits. It is the primary tool for demonstrating that the physical flow of material matches the financial claims made by the business.
