Adjust sales cost after post sales invoice

Finance and Operations/AX User Forum
1

Dear all,

I am using AX2009. When we sell something to customer, we need to bear the freight charge. However, we don’t know the actual freight charge when we post sales invoice (we need to post the invoice before month end).

For example, assume my item cost is $10, and my frieght charge is $1.

The current procedure would be:

  1. Post sales invoice.

Dr: customer

Cr: Sales

Dr: COGS - item: $10

Cr: Inventory: -$10

  1. When receive forwarder freight charge invoice, we need to append this freight charge to our COGS.

Dr: COGS - shipping: $1

Cr: Vendor:-$1

  1. After the process, is there any way I can see my final COGS of the sales invoice (per invoice line)?

E.g. Final cost should be =

COGS - Item + COGS - Shipping = $11

2

You could adjust the cost of the item through the inventory close procedure, but if this is every line and every item you need a better way of doing this.

3

Hello,

Yes, this is my problem now.

We need to adjust for each invoice line.

In addition, if I try adjust the transaction in inventory close/adjustment. But after I make adjustment on my sales issue, AX does not update my COGS on my Sales invoice.

I believe my case is very common – to adjust the post sales invoice for COGS value.
Any suggestion/idea?

Thanks in advance.

4

I would not say your case is common. Many users use miscellaneous charges, others use a freight item charge and take the cost as defined, the posting of the cost retrospectively is updated at the month end depending upon the costing method and processes.

I would suggest you look at setting this as a service item, also look at processing miscellaneous charges and how these are handled. Ultimately depending upon the exact customers requirements you will need to think about the options available, trial them through and see where the gaps are.

5

Hello,

I will talk to finance person to see if they accept the “estimate” charge.

If they really stick with the actual amount, then I need to find another solution.

Thanks.

6

It depends how finance want to process it and see it. If the item cost must be uplifted by the freight cost then this is a miscellaneous charge processed against the sales order and you may have to modify the system to do this. Otherwise they may have flat rates and costs - there is little benefit from analysing the freight unless there are massive variations, then of course there is the debate of whether they cost this anyway because the cost could include associatesd shipping charges.