Update Unit Cost on Sales Order

knmknm Member Posts: 170
edited 2010-10-18 in NAV Three Tier
I'm currently testing NAV2009SP1, and I have question on how Unit Cost gets updated in Sales Order entry window.

When I make an Item Application on the Sales Order entry window, the Unit Cost field on the Sales Line Table gets updated, using the Cost of the linked Item Ledger Entry.

But, when I make an Item Reservation on the Sales Order entry window, the Unit Cost field does not get updated as it did on the "Item Application" situation. (After Posting the Sales, since the cost of sales is wrong, I need to run Adjust Cost utility so that the accurate cost is recorded in the system)

Is there any reason why the Unit Cost doesn't get updated on Item Reservation, and is there a setup which would allow the system to do so?

Please let me know.

Thank you!

Comments

  • Alex_ChowAlex_Chow Member Posts: 5,063
    Item reservation has nothing to do with costing. The items are still going out according to the costing method specified on the item card.
  • knmknm Member Posts: 170
    But isn't it true that when Item Reservation is made, and Sales is posted, the Item Application will be established according to the Item Reservation entries?

    For example, let's say that I have following Item Ledger Entries for Item A (using FIFO costing method).

    Rcpt No. Entry No. QTY Unit Cost
    000900 100 10 $10.00
    000901 101 10 $20.00
    000902 102 10 $30.00

    On the Sales, I will make an Item Reservation Entry for "Rcpt No." 000901, and then post.

    On the Item Application entry window, I will see that the newly registered Outbound Item ledger entry will be applied against "Entry No." 101. (if I didn't make any reservation entry then it would have been "Entry no." 100)

    And I also see that after running the adjust cost utility, the posted Cost of sales is $20.00 instead of $10.00.


    With above observations, since how item reservation updates Item Ledger Entry window is almost the same as Applying Item Entry in the Sales Order entry window, I though it would be also the same for Sales Order entry window to update the Unit Cost after applying the Item Reservation.
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