We have a customer on 3.70 who did the following: 1. Purchased Qty 10 of a FIFO-costed item at $8.00 each. Used the Item Journal - AP is being done outside the system. 2. Sold one. 3. Realized the correct cost was $7.00, so purchased Qty -9 at $8.00 each, then purchased +9 at $7.00 Results: Currently, the inventory value is correct and matches with the G/L inventory account. COGS and Purchases are off, but offset each other. Issue: Doing a journal entry to fix COGS and Purchases would fix the GL problem, but inventory valuation reports as-of step 2 or 3 will be off. Doing a bunch of Returns/CM’s, revaluations, re-issuing Sales Orders would fix everything but would be too time consuming (this was actually done with many items and there’s lots of sales). Can anyone think of any other way of fixing this problem that wouldn’t be too labor intensive? If there’s no relatively inexpensive solution, our customer would just live with incorrect As-Of inventory valuation reports. Recommendations? Thanks -
Hi, Why not you are assiging the Item Charges through Purchase Credit notes of $1 (applies to that PO receipt). Instead of reversing the PO. After running the Inventory Adjustment routine system will automatically adjust the COGS account.
Thanks for the suggestion [:)]. That would have been a good solution, but the customer did this without seeking our advice, nor did they try it on their test system. In the future, they will likely call us first. Any recommendation on the best approach now that it’s already done?