We have recently gone live with NAV 2009 and have some average costing issues that I cannot resolve (nor has our vendor been able to suggest a solution).
We were advised to convert all units to Ea (we are going to use advanced warehousing in the future) and when taking on stock used a formula to divide qty on hand by number of units in an outer.
The issue is that we made some mistakes.
I have attempted to correct this by:
- Negative Adjustment
a. 350 @ $7
- Positive Adjustment
a. 14 @ $7
i.e. the net effect should be that there are 14 in stock at an average cost of 0.50 each.
Trouble is when I run the GL Adjust Cost Item Entries the net average cost = 7+7-13.46 = .054. Why is this?
Has anyone got an ideas? I need to urgently fix this as we are in the middle of doing our monthend.
Any help would be most appreciated.
The average cost is only calculated on a positive entry, so your removal has no affect on the average cost. Use a revaluation journal to correct costs, not a negative and positive adjustment.
I was just coming to this conclusion myself.
If I revalue the quantity on hand and then issue (negative) and receipt (positive), I think it may work. I am going to test and will update you on results.
Thanks for your quick response.
There are two ways to revalue. In your case where the original incorrect positive entry is no longer open you need to manually enter the line on the journal and set the applies to ID manually to bring in the line. You’ll need to run teh adjust cost routine after this.
What effect will it have in the GL? Is there anything that I should be aware of?
I need the net effect to be zero.
The net affect will be zero - the offset from the inventory will depend upon your posting group setup. Go into your test system, revalue one and look at the voucher produced by it to see the ledger impact.