FIFO again: reapplying

goa

Hi folks!

Got situation:

All cost postings, etc. - automatic.

1-st purchase of 10pcs, unit cost 100LCU, posting date 01 Jan 08
2-nd purchase of 10 pcs, unit cost 150LCU, posting date 15 Jan 08
Sale of 15 pcs, posting date 20 Jan 08. Unit cost calcualted as 116.67 (125-8,33 in "Value Entry").
3-d purchase of 10 pcs, unit cost 300LCU, posting date 7 Jan 08.Unit cost in sale operation left unchaged: 116.67

Accountant's part of my brain think, that sale operation should be recalculated, bot it is not!
Has any of you solved such situation? Any recommendations?

Thanks in advance.

--
Med venlig hilsen,
Guest.

cernst

Have you run the adjust cost job? Yo need to do that even if costing is automatic.

goa

Yes, before last (3-rd) purchase, and after.

cernst

The calculation is correct using FIFO. 10 pcs cost 100 + 5 pcs cost 150 gives 1750 this divided with 15 gives 116,67. FIFO (First In First Out) calculates costs this way.

ayhan06

this situation is correct for fifo method.

remember that if you are using fifo method, you are responsible for keeping inventory up-to-date. if you can't, do not use fifo method.

girish.joshi

It is correct using FIFO, but I think the question goa is asking is how to get his cost to be correct when he is forced to backdate a receipt.

I think the only way to do this is to bring your goods back in through two sales credit memo, and use the apply-from field to apply to the original sale. For the first sale credit memo, use a posting date of 01 Jan 08. For the second credit memo, use a posting date of 15 Jan 08. Make sure each CM is being brought in at its original cost - not what it left at.

Now your "As of Date" quantities will have the correct amount amounts in all periods.

When you post your new sales, it should apply correctly.

Of course, you should test this -- its all theory right now.

cernst

In NAV 5.0 you could use the Application Woorksheet to change the item application so that the sales is applied to the right purchase.