Sage 100: Inventory adjustments allows one to enter a cost which will change the carrying cost of inventory. If one adjusts the quantity of FIFO or LIFO tier by one and override the cost during data entry, the remaining quantity on that tier will now have the new cost. The general ledger control account for inventory will not balance to the inventory trial balance or valuation report. The system should prevent one from overriding cost except when entering a receipt of goods.

This is very dangerous as there is no way to find why the tier cost suddenly changed without looking at the IM_DetailPosting file and tracking all entries with that lot. To ensure proper costing of inventory, one should only be able to change the cost of an item through receipt of goods in PO or Inventory Transaction. All other inventory costing should automatically be calculated by the system based on the valuation method being used. This should be the situation for all valuation methods.

by: Avron K. | over a year ago | Sales & Distribution

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