SEM-BCS Journal Posting for Elim.inventory

[Former Member]

Hi,

I have setting for Elim.inventory as below :

In menu "posting item", I set "Finished Good" as an inventory item. And in the folder "Offsetting Item", I set "Net Sales" for debit side and "COGS unrealised profit on inventory" for credit side.

After that,

I input AFD for inventory managing unit (cons unit AA) => book value = 300 USD

for Supplying managing Unit (cons unit BB) => Gross Margin=25%.

Then I execute tas for Elim.inventory.

It create journal as follow :

Dr Net Sales 75

Cr Finished Good 75

Dr B/S current Year Profit 75

Cr P/L current Year Profit 75

<b>Is that journal correct?</b> because my accounting user said that it should be as follow :

Dr Net Sales 300

Cr COGS unrealised profit 225

Cr Finished Good 75

<b>The other question is :</b>

How to set the "freight cost" ? and what are the journal like ?

Thanks in advance

[Former Member · Accepted solution]

Oops!

The correct explanation that was here has been changed to wrong one >-(((

TO BE CORRECTED

Message was edited by:

Eugene Khusainov

[Former Member · Accepted solution]

Hi Eugene,

I did exactly like you told. And it was successfull.

Thanks a lot for your help.

Regarding Freight, like you said, I use "distribution cost from" and fill them with freight account, for "distribution cost to" i fill it with inventory account.

[Former Member · Accepted solution]

Eugene,

I forgot to tell,

In AFD Supplier Data, if i used Quantity method (not fill the gross margin) then i cannot fill the distribution cost percentage. Are there anyway to do it?

Thanks.

[Former Member]

For the sake of truth:

your entries also were correct (and even more correct than I proposed).

See some additional info in this thread: