Inventory closing for FIFO AX2009

Dear all:

I’m using FIFO for costing , is it important to run the inventory closing every month??? if we cant close the inventory every month for costing issues (for example: misc. charges invoice delay) can I close it periodically for example every 2 or three months??

Please advice

Regards

There is no hard and fast rule for inventory closing. You can run it periodically at a suitable time gap. Running it at gap of two months is also fine but if there are lot of item transactions then it will take more time.

Ideally this should be month end process.

Pranav…

Purpose of running inventory closing is to recalculate cost of issuance after posting all invoices for the period. Because usually we posts sales invoice (and other issuance transactions) on non-current date and their might be some purchase orders that were invoiced in later dates.

If all inventory transaction of an Item are in sequence (financial date-wise posted ) then you might not need to run inventory closing on that item. But if you need to, its not necessary to run every month you can run when need arise for correct financial reporting (Like quarterly reports).

Regards,

Akhwand Usman