Sales order Invoicing

Hi All

I have the production of the construction material and i am using the Production module, while seeing the Item Group posting profile, i found their is no Consumption account in the all item group created (for reference following is the image) and still the Sales invoicing is happening. As per my knowledge it should not me happen is we are not able to generate the cost at the time of the Invoicing.

Please advise, is there some other setup in 2012.

Sales Order consumption has nothing to do with production, it is the account used to post the cost of sales, so if your item has no cost there is no requirement for it.

yes this account is nothing linked with the Production but I think this consumption account we use in the sales cycle to record the COGS.

Hi Imran,

Could you once check creating the sales order for project and try posting the invoice.

Hi Kiran

Thanks for reverting, actually i just want to know how the sale order got invoice without Consumption account. If we have simple trading or production we are selling through the sales order, and for selling we put posting profile for the items and consumption account in the Sales order tab is the ledger account where we put the COGS and if we dont put the account system through the error for defining the account in the consumption account. But here it is not happening like this.

I got your point Imran [:)] and it is quite valid. Please make sure the following setups are done in your system:

On the Item model group, check-box ‘Post financial inventory’ is marked.

Cost price for item is non-zero on the sales order that you are trying to invoice.

Include physical value’ check-box is marked on the Item model group.

You could check to find out why exactly this setup is needed while recording the COGS of an item during sales/issue transactions.

So what is your voucher, which are all the accounts are being hit during the invoice posting.

you wont need this in all cases, unless you are doing a consumption without a financial cost update to the inventory.

What is the costing method? Is the cost >0?

Thanks Kranthi for the info.

Here is the voucher crested:

511011 is the COGS accounts.

Post Financial Value and Include Physical Value both are checked mark against this group and the method of costing is FIFO, for reference following is the screen Shot.

Go to the AR ledger - Setup and Posting. Look for the ledger account for COGS - is there anything non-item group related setup (categories, all). I would suggest that is where you have configured COGS.

Yes you are right, what a silly mistake i did [:@]