• From: Albania, Tirana
  • Registered: 07/10/2010
  • Posts: 25

Topic: Cost of goods

Hello,
How it should be increased the cost of goods with shipping, tax etc. ?
for examples:
1- Invoice from supplier A
qty 10 x price 20 = 200 $
GL inventory/AP-Supplier A 200 $
2- Invoice from supplier B
transport of goods (sold by supplier A) in amount 50 $
GL inventory/AP-Supplier B 50 $

Cost of goods in reports should be (200+50)/10 = 25$/per unit

Thanks

  • From: India
  • Registered: 11/09/2009
  • Posts: 115

Re: Cost of goods

Hi Eglis,

I am also facing same issue.
So far we can not do this is FA.

Thanks

Chaitanya
  • Registered: 12/25/2007
  • Posts: 2,448

Re: Cost of goods

Do you see any idea  how to deal with this case to avoid need for manual item cost update?
Janusz

  • From: India
  • Registered: 11/09/2009
  • Posts: 115

Re: Cost of goods

So far I could not get a chance to analyse the situation.

Chaitanya
  • From: Albania, Tirana
  • Registered: 07/10/2010
  • Posts: 25

Re: Cost of goods

My opinion,
at first,
it is not necessary to crate items for services. The users need to have the commodity to register the service expenses directly to account of expenses, and in the same time the software will ask if this service need to be distributed in cost of goods or not.
I think for the administrator of FA this should be very easy.

  • Registered: 12/25/2007
  • Posts: 2,448

Re: Cost of goods

This is not so easy. Transportation costs are subject to payment, so it should be registered on AP account of freight company, therefore we have to entry separate supplier invoice for it. Also additional transportation charges change cost of items involved in given delivery, and have no influence on other items in inventory, so cost invoice have to set relation to selected delivery. Do you know how it is maintained in other accounting packages from user point of view?

Janusz

  • From: Albania, Tirana
  • Registered: 07/10/2010
  • Posts: 25

Re: Cost of goods

Can you do it in this way
when I register a purchase invoice  and in the same time I will click in a box the registration should be
GL temporary acc of inventory 15..../AP of supplier
after this
I will register the transportation invoice
GL temporary acc of inventory 15..../AP of supplier
and the third registration should be
adjustment inventory
GL Inventory/temporary acc of inventory 15....

  • From: Albania, Tirana
  • Registered: 07/10/2010
  • Posts: 25

Re: Cost of goods

Can you do it in this way??? The problem should be in defoult configuration of Item.
at first
when we record a purchase invoice.
Dr internal acc of inventory (xx)
Cr Supplier (xx)
In this registration it is neccasary to not show the qty received in warehouse but the duty towards the supplier.

Second
Transport service invoice
Dr internal acc of inventory (x)
Cr Supplier (x)

Third
Inventory
Dr inv acc 15...  (xxx) -here we can show the qty in warehouse.
Cr internal acc of inventory (xxx)

Thanks & Best regards,
Eglis

  • Registered: 12/25/2007
  • Posts: 2,448

Re: Cost of goods

Sorry, I do not understand what do you want to change Eglis.
Janusz

10 Reply by sannyferns (edited by sannyferns 12/23/2010 03:07:20 pm)

  • Registered: 09/23/2010
  • Posts: 6

Re: Cost of goods

I avoid this problem by firts working at the unit cost in spreadsheet (if i am taking a long lists of itmes into the inventory) and then

Supper 1 invcoe

qty 10 x 25 = 100 - this will give me unit cost as 25 then
I add gl line crediting transport account with 50
so I book supplier 1 invoice @ 200

then
Suppler 2 account I debit transport cozt  @ 50/-

This way my unit cost is increased and transport cost becomes zero and I have booked both the suppliers with correct invoice amount and settle them at the agreed payment tems.
Is this what we are looking for ?