Posting Profiles

On items posting, uses the Consumption account for the debit instead of the Receipt account in all cases. How this can be fixed.

This does not need to be “fixed” this is how the posting group works, and therefore you need to define the correct ledger accounts in the correct profiles. The consumption account is the cost of sales, and the double entry to this would be to the inventory account, which would be your receipt account, so in essence the system books it into one account and the sale removes the inventory value whilst posting the cost of this to the profit and loss as cost of sales. Pretty standard accounts really, and if it did what you wanted it to do it would have a zero affect on inventory. I suggest you process some transactions through and map the ledger transactions, you should hopefully see it works and then perhaps understand it.

Adam,

The company does not use the sales orders. This happens when posting the purchase order.

Company 1 - All purchases should be using the Purchase Receipt account and are posting fine. The only time they needed a Consumption account was when they are doing a PO Return. This seems to be the case whether they are doing a Service or an Item type entry.

Company 2 -

Purchases use the receipt account, defined in the appropriate posting profile. The PO return uses the consumption account, as it creates a credit.

If company 2 acts differently this will be because it is setup differently. Look at the item on the purchase order, note the item group, then go to setup and posting, on the purchase order tab and the consumption option you will see the mapping. If indeed it is the receipt causing the issue go to the receipt option, where does the item group fall and where does the entry go if it is not listed. My guess is the receipt account is not mapped to the correct ledger account. Otherwie you have modified it to work non-standard [:D]