Purchase Order & Cost Centre

[Former Member]

Hi All,

My client is using cost centres.  When you create a Sales Order the Cost Centre column is populated automatically. However, this is not the same for a Purchase Order. Is there a settings missing?

Looking forward to your replies.

Regards

Earl

[Former Member · Accepted solution]

Hi Earl,

What is your B1 version/PL? Have you checked your Cost Accounting setting?

Thanks,

Gordon

[Former Member · Accepted solution]

Hi Gordon,

B1 Version 9.0 PL08. Yes, the Cost Accounting settings are ok. AS per my note, this is working fine for sales order.

Regards

Earl

[Former Member · Accepted solution]

In B1, the cost is default to sales process to get the gross profit margin and different "Profit Center" distribution.

What purchase document types are you referring to? Service or Item?

[julie_jamieson2 · Accepted solution]

Have you checked that the GL account being used is type Sales or type expenditure, if not then a cost centre will not be used.

Do you have the GL account set as relevant for cost accounting & do you have default values set in the GL?

If not, them the system will be needing a value to be input, either by the user, or using a formatted search

[Former Member · Accepted solution]

Purchase Order. The Cost Centre appears automatically when an Item is added to a Sales Order, but not a Purchase Order.

[Former Member · Accepted solution]

For Purchase the type is 'Expenditure'  A default value is set the Cost Centers.

[Former Member · Accepted solution]

A rather strange behaviour when this process work when creating a Sales Order.  I am of the opinion that this is a standard B1 functionality and I will be creating a FMS to populate this column with the Cost Centre.

[julie_jamieson2 · Accepted solution]

Hi Earl,

If the Purchasing documents are for stock items, this does make sense, as there is no cost of sales associated with stock item purchasing (they get coded to the asset account), the cost is recognised in the sales document when the item is sold.

I tested in my 9.0 PL08 version & the cost centres are defaulting in service based documents correctly.

[Former Member · Accepted solution]

Julie is right. There is no expenditures yet. Cost Center is applicable for expenditure type. If you tried to put the other type account in cost center, you will need to update your JE manually.