why Microsoft did not consider the basic accounting standard

hansika

Hi All,

Why Navision Posting the values to Purchase Account, Direct cost applied account when user post the purchase Invoice ?
My client tells that as per the accounting standards there is no need to post the any values to above accounts as i explained .
Could any one throw some light why Microsoft did not consider the basic accounting standards.? :-k :shock: #-o

Thanks in advance.

Deep

hansika wrote:

Hi All,

Why Navision Posting the values to Purchase Account, Direct cost applied account when user post the purchase Invoice ?
My client tells that as per the accounting standards there is no need to post the any values to above accounts as i explained .
Could any one throw some light why Microsoft did not consider the basic accounting standards.? :-k :shock: #-o

Thanks in advance.

:oops:

Have you tried checking the entries at each stage, and then their affect on the income statement/balance sheet transaction by transaction????

If not, then follow the sequence of transactions, examine the g/l entries at each stage, and see the affect in the accounts. Take your accountant with you if possible, and ask him to prepare the Trading Account, P&L account as well as the balance sheet in the traditional way at each stage, and match the results.

hansika

Thank you Deep,

I am not talking about the End results .
Client complaints Nav Posting concept is against the accounting standars and says not required to post those ledgers (Purchase Account, Direct cost applied account) at the time of purchase invoice ?

Thanks in advance

ssingla

Either your client is the most intellegent person in the world and rest are fool (though I think otherwise) or is bitten by some other ERP or haven't applied his mind to understand the system or most probably your team has failed to make him understand.

NAV purchase posting makes absolute sense and there is no reason to doubt that.

Just a minute..... What you understand from NAV accounting process? Are you convinced that NAV is doing it correctly?
The answer to the above question is more important than solving the query of your client.

Deep

Just a minute..... What you understand from NAV accounting process? Are you convinced that NAV is doing it correctly?
The answer to the above question is more important than solving the query of your client

:thumbsup:
And to add up, this is the most basic thing for every question when it comes to consulting.