Hope somebody can help me, we are working on the Microsoft Dynamic 2009 R2, the day that we went live on the stock and making of stock with the production orders, and COGS our IT department made one mistake. In June we had closing stock of the value of 7 mil and al the raw material en indirect cost went thru the income statement for the first 6 months, now that we have sold this stock the raw material and indirect cost went thru the income statement again via COGS.
How do I reverse the COGS entries on the 7 mil stock that is sold?
This problem occurred because our company policy is COST OF PRODUCTION, and NAV 2009 R2 is COST OF GOODS SOLD.
Hope you can help me because this problem made a 2.9 mil double entry in our Trail Balance.
The software that we used before NAV was the AS400
Is there away that we can use NAV 2009 R2 in the COST OF PRODUCTION manner?
How do you define “cost of production”? I assume you book all material cost at purchase or production output directly to material cost and then at the end of the month you would capitalize the difference between beginning and ending inventory, right?
This is not really supported by NAV unless you disable inventory integration into general ledger and do it manually. But I think that is not the idea of having an ERP in a production entity.
How does your inventory setup look like, especially the general tab? Can you send me or post a screenshot?
I checked the screenshot and with these settings it now automatically posts inventory and cost of goods sold.
My assumption is that for the first 6 months these settings were different and then they have been changed. If the automatic stock posting was not set, all transactions ended up directly in your income statement.
Now there is a report called Adjust Cost - Item Entries which should do the cost posting in case the automatic cost posting is not set. In theory this report should post the inventory transactions for the first 6 months. But it is extremely dangerous to run this report without knowing the whole setup.
Do you have a test database with the same data where you could run this report and check the result?
No offence, Francois - but the standard help in NAV is quite good, actually: open the “Cost Adjust”-batch - e.g via Departments → Financials Management → Inventory, then Tasks → “Adjust Cost - Item Entries”.
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