[pending] unassigned but invoiced Charge(Item) on P.O. error

jversusj

Hi.
Our system will currently allow a user to add a charge item to a purchase order and let them post without ever assigning the charge (provided the PO is not being completely fulfilled).

the trouble is that when the PO is ready to close, they cannot post because all item charges must be assigned. If they try to assign the item charge, they have one of two problems.
1. The items this charge relates to are already received/invoiced and cannot have additional charges assigned.
2. They attempt to assign the charges to the Purchase Receipt of the goods, but that fails because Qty to Assign / Qty to Invoice gives the divide by zero error.

In the past, we have had to correct this by assigning ALL of this cost to one item. then returning that entire layer of that one item at the inflated cost. Then a new PO is made to "repurchase" that item at the right cost, and a purchase invoice for the charge item (this time applied to the Purchase Receipt without issue) is created.

Is there any other way to handle this? I cannot undo receipt of Charge(item), I cannot delete a charge item line from a PO that is unassigned. It is a fanatical Catch 22. i cannot apply the charges accurately, but i cannot post without assigning the charges. I would rather not do the 'trick' where we dump the entire cost on one item that is being invoiced, just to work backwards undoing everything and reworking the rest.

nunomaia

What you are doing right now it’s dangerous to Navision costing, you must assign the item charge correctly or you will have incorrect item cost.

In Navision you can post an invoice and later when you receive the item charges, create a single item charges invoice applied to other posted invoice. It’s better to do this way than changing the standard way of item charges.

muksha

Would you please explain why are you posting item charges through PO without receiving the item. If necessary you can post a purchase invoice of item charge with some logic to apply the same at the time of actual posting of PO.

sajidhanifkhan

Hi jversusj,

How navision allowed you posting of Item charge from PO without assigning the proper recipt of items.? Do u have any customization as its not possible in standard navision.

I suggest it wud be good idea if u make a returend shipment order and then create a new PO and assign the item charge correctly to the recipt items.

regards
Sajid

jversusj

Hi.

Let me clarify a bit.

Let's say we create a PO for 3 items: 123, 456, and 789.

We get an invoice from the vendor for items 123 and 456 (789 has not shipped from the vendor yet). On the invoice, there is an additional charge for handling that needs to be added to the cost of the good. To get the PO to post a PI that matches the invoice from the vendor, the purchaser will add a charge (item) line. 99.9% of the time, the purchaser has their head in the right place and they assign the item (charge) to the PO lines for 123 and 456. They then post the PO (Receive and invoice - which receives the goods into In-Transit awaiting proper receipt through Warehouse Management when the goods physically arrive).

The problem arises when someone adds the charge (item) and does not assign the charges but invoices the charge. It lets them do this because item 789 is still outstanding. Of course, if 789 was being invoiced, the user would get an error that when invoicing all items, all item charges must be assigned. So, we end up with a charge (item) sitting unassigned - but invoiced - on a given PO.

Fast forward time and we receive a second invoice from the vendor for item 789 (with another handling fee). The user adds a second charge (item) line and assigns it to item 789. They attempt to post and get the error that they cannot have unassigned charges (from the first charge item that was invoiced but not assigned). They then say, "okay, i'll assign those charges." when they attempt this however, they find that they cannot assign the charges against items fully received/invoiced on the PO. They then say, "okay, i'll assign against the posted purchase receipt." here, however, they run into the division by zero error, since the posting routine involves a check of line discount amount that takes qty to assign and divides by qty to invoice. There is no qty to invoice because the goods were already invoiced in the past. We then cannot post the invoice without assigning the cost to something that is still on the PO.

To my knowledge, we have no customization here. You can try it yourself with the example i did above. just make sure you are not receiving the PO in full when you add the charge item (but don't assign it).

Traditionally, we do most charge (items) long after the receipt (we receive logistic invoices weeks after the vendor invoice). The charges we have been trying to handle directly on the POs are charges we are aware of when the vendor invoice arrives.

I mislead in my original post how we have been handling this. Instead of returning the layer of the goods, we would do a credit memo charge (item) against that one item we dumped all the cost on. We would then do a direct purchase invoice for the charge (item) and assign that to the proper purch. receipt. The credit memo would clear the purch invoice and then we'd have to run a cost adjustment to get things square.

It is a ton of rework and i was hoping there was a workaround from the PO itself. I have tried turning off all discounts in the Purchase set-up, but the logic still tries to calculate line discount and fails with the divide by zero error. Ideally, Navision SHOULD NOT let them post an invoice without assigning item charges. It also should not let you try to assign charge items to Purchase Receitps from a PO if it knows in advance that a divide by 0 error will occur.

nunomaia

I don't know if you have access to partnersource but there is a hotfix for a similar error:

https://mbs.microsoft.com/knowledgebase ... UQUXTRZYWO

nunomaia

If you don't have access to partnersource you better check it your's current NSC

jversusj

nunomaia wrote:

If you don't have access to partnersource you better check it your's current NSC

Thank you. I do not have access to PartnerSource. I am just an end user trying to keep the system working despite the users' best efforts.

Thanks for the tip. I will check with our NSC. I assume this hotfix prevents a user from posting anything if they have created a charge item but not assigned it?

nunomaia

Will send to you the information

nunomaia

I’m curious. Did the hotfix project solve your problem?

jversusj

our NSC is at some Nav Shindig in California, so i haven't even been able to discuss getting it from them.

i will let you know if/when we get it resolved.