Quote from JNAPIER on 03/04/09 at 14:00:01:If you are looking at the Average costed value in IN-F it will be off from the GL. Standard cost from IN-F is much more useful. How often do you UPDATE STANDARD COSTS and ROLLUP BOM'S? Not doing these and having price increases in raw costs will have the GL HIGHER than printed.
John
IN-F does not show "Standard cost" in only shows "Avg cost X units on hand" and "Book Value" which can be different.
Since our accountant insists on having backup for the asset accounts at the end of the year we have set up the practice of making sure they match every month.
I run IN-F by GL account every month and match it to the GL account and am usually only off by less than $50 in each of my asset accounts, and sometime just pennies. We run SM-J-C first using the transaction type "B" which assumes the transactions are correct but for some reason the location qty on hand is wrong. Then we always run UT-K-G to fix book value. This procedure is working very well for us--
We use standard cost as a comparison point only, and always issue at average and finish at actual. We usually receive PO's at the last cost (what's entered on the PO) and if there is a price increase (that our vendor didn't let us know about when the PO was submitted!!) it doesn't show up until the receipt is invoiced -- this can cause differences if many of the part number are used in between receipt and invoice. The products we produce are rarely in inventory for long since we usually build a high ticket item one at a time and ship almost immediately. We have sales order release set to not allow shipment of an item unless we have it in stock, and although we are allowed to issue a part to a work order even if we don' t have them we rarely do. Going negative with average cost can really mess with the cost.
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Inventory Value (Read 1081 times)
