Do you have any Idea how this happen? the COGS Account is Greater than SALES account. Any idea? Hoping for your reply.TY
Our Costing Method is FIFO
The Inventory Setup
Automatic Cost Posting := UNCHECK
Expected Cost Posting := UNCHECK
Automatic Cost Calc. Type := Never
Average Cost Calc. Type := Item
Ave. Cost PEriod := Day
Never heard this one before…
Actually the way most of the Charts of Accounts i have seen are structured, i would expect it to almost always be greater than the sales account.
Sounds to me like this is part of localization…
I just checked in a danish version (4.0 SP3) and this error message doesn’t exist.
Is there some restrictions to the structure of the Chart of Accounts where you live?
Im from Philipines,Our client is using NAV 5.0 sp1, hoping for your reply.
This can easily happen if your setup is not correct.
Check that you’re not using the COGS account number for other purposes. Use the “Where used list” function from the COA.
Also make sure that you do not allow Direct Posting to the account.
And then verify the postings to the account.
Any direct postings to the COGS accounts?
Any direct postings to the sales accounts?
Where are your credits posted?
Any other mappings of the COGS accounts in where used?
I once handled a business who distributed a fast moving product, they would purchase it for $10 and in the first release weekend they could sell it for $20, then after that there was a different opinion, if they had 5 in stock and sold them at $3 then this was “seen” as a profit because “it was probably only worth a $1”. Of course no one bothered to revalue it from $10 to $1 so a loss was made on the sales, even though in the eyes of the customer this was a profit.
I check the COGS account and this is not Direct posting and only use for COGS account setup in the Gen. Ldgr Posting. But I notice that it has negative values, is this normal, to have negative values in the COGS Account? hoping for your reply.
It depends what creates the negative amounts, you will need to check the source of these, they could be returns for example. Have a look at the COGS account and where it is used, you can then see what transactions are causing the issue, then look at the transactions. I also advise filtering hte GL on a date basis, narrow it down and find a date where the situation arises, you are then only looking at a day. It maybe the adjust cost routine posting large adjustments on a set day after a closed period, you will need to investigate it to find out.
Also just becuase it is not direct posting does not mean manual entries are in there, have a look at the data, the direct posting can be unticked afterall.