Moin: In our NAVISION installation the current costing method for all items is “FIFO”. Now it is to switch to “Average”. It´s not a problem to do this on items that have no ledger entries. But NAVISION refuses to switch when there are existing ledger entries. Anyone out there who knows an hazzle-free method to do this change? Regards Uwe Edited by - kolja on 2001 May 31 11:36:55
You cannot change the costing method of an item after you have posted any ledger entries. More over it will have very bad affect on the item application entries even if you manged to change the costing method. You may have to nullify all the inventory you have then remove any reservation entries. And start afresh by deleting all item ledger entries and reload the inventory with the quantities. This would mean that you have to clean up the whole Db except for Chart of accounts, customers, vendors, items. Instead it would be better you wait for year closing and then change the costing method. Anyway It does not make much difference in Navision if its FIFO or Average. My advise would be to keep the costing method and change it at year end if you want to. Prashanth Best regards, Prashanth pbg@navilogic.com
Generally, if the quantity on-hand has been reduced to zero, and all cost adjustments to cost have been made, GAAP allows you to change costing methods on an item (this is not accounting advice, consult a professional). We have done this at a client site when an Item was set up incorrectly then brought into stock. To override Navision’s code, rem the following on the Costing Method field: Costing Method - OnValidate() IF “Costing Method” = xRec.“Costing Method” THEN EXIT; {begin rem ItemLedgEntry.SETCURRENTKEY(“Item No.”); ItemLedgEntry.SETRANGE(“Item No.”,“No.”); IF ItemLedgEntry.FIND(’-’) THEN ERROR( ‘You cannot change %1 because there are one or more ledger entries for this item.’, FIELDNAME(“Costing Method”)); end rem}
Thank you very much for your assistance. I think it will be best to follow Prashanths advice to wait for year closing. Regards Uwe
In case you want to correct a erronuous valuation method for a single item, you may use this procedure: 1. Enter negative adjustment to reduce quantity and cost of the item to zero. Cost may have to be calculated to produce accurate reflection in G/L 2. Rename this item to something else and block it 3. create a new item with original No., and correct valuation method 4. Enter positive adjustment to re-enstate quantity and cost. This method leaves proper audit trail, but you can only use it for fixing entry errors. Regards, Alex
New to the boards, lot of good info. If you decide you want to change it right away, you can create a dataport and export items to excel or access, change the costing method and use the same dataport to import it back. There is no validation done on the import, so everything works fine. You can run inventory valuation reports before and after to determine if you need to make any GL adjustments David
I have had to do this on a few occations. Instead of exporting and reimporting the information I would recomend these steps: 1. Write a report or codeunit to loop through all items with the incorrect costing method. 2. While looping, calculate the Qty. on Hand for each Item. If the Qty. On Hand <> 0 then make a Item Journal Entry with the Qty. On Hand as the Item Journal Quantity as either a Negitive or Positive Adjustment to make the QOH = 0 when the Journal is posted. 3. At the same time using a separate batch in the Item Jouranl create an entry to return the Qty On Hand back to it’s origianl value when that Journal is posted. 4. Post the first journal. 5. Set the costing method on each item. 6. Post the second journal. Hope this helps. Bill Benefiel Manager of Information Systems Overhead Door Company billb@ohdindy.com (317) 842-7444 ext 117
quote:
Originally posted by wbenefiel: 1. Write a report or codeunit to loop through all items with the incorrect costing method. 2. While looping, calculate the Qty. on Hand for each Item. If the Qty. On Hand <> 0 then make a Item Journal Entry with the Qty. On Hand as the Item Journal Quantity as either a Negitive or Positive Adjustment to make the QOH = 0 when the Journal is posted. 3. At the same time using a separate batch in the Item Jouranl create an entry to return the Qty On Hand back to it’s origianl value when that Journal is posted. 4. Post the first journal. 5. Set the costing method on each item. 6. Post the second journal. Hope this helps. Bill Benefiel Manager of Information Systems Overhead Door Company billb@ohdindy.com (317) 842-7444 ext 117
What happens with the Adjusted Costs for your new entries how would you get a true base Inventory costing, as all the new entries will use the latest cost from the Item card based on the Costing Method not the Invoiced cost of the old ledger entries!? To be more precise You will need to find the open Item ledger entries, find the Invoicing entries then Create the reversing entries with the same date and unit costs as the receipt/Invoice applied to the receipt entry number, then in your new journal bring on the stock at the true Cost price (from remaining Item Ledger)with the new costing method. Post the adjustments journal first, run the adjusted cost routine, before bringing on your new entries. David Cox MindSource (UK) Limited Navision Solutions Partner Email: david@mindsource.co.uk Web: www.mindsource.co.uk
Yes, if the Unit Cost has changed significantly, doing each entry would be more accurate. If this is a fairly new problem, then my method should still work. Good eyes though David! Bill Benefiel Manager of Information Systems Overhead Door Company billb@ohdindy.com (317) 842-7444 ext 117
Hi,
another alternative that works a treat (unless someone can let me know how to make this solution better! - please let me know)
Write a routine to do the following automatically;
- Run the Adjust Cost Item Entries
- Calculate inventory for the items in a Physical inventory journal
- Set the quantity to the value that is required to take all the stock out for the items
- At the same time save the journal you are going to post in a buffer
- export the output to csv (in case you need to play with it for any reason, if you realise your filter included incorrect items)
- post the journal
- run adjust costs
- make required changes to items
- calculate inventory, include items not in inventory so you get the output to reverse the phys. inv done in step 3
- use your buffer from 4 to correctly fill in the phys inv. qty/location/bins
- export that output to csv
- post the phys. inv jnl
- run adjust costs
This way you are really automating what you could do manually, and therefore you are using standard NAV logic.