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Item for internal consumption

Former Member
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Kindly guide me on how to issue an item (eg.paint) defined as Inventory,Purchase and Sale, for internal consumption as well. (i.e. NOT issue for production)

thanks,

Avinash Sashee

Accepted Solutions (0)

Answers (3)

Answers (3)

former_member187989
Active Contributor
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hi,

Goods Issue

The Goods Issue function enables you to reduce the stock level in situatios that are not the direct result of a marketing document entry.

When an item is sold, the warehouse stock is automatically reduced when the transactions are entered in Sales. For example, if a delivery note is created on the basis of an order for a customer, the warehouse stock is reduced by the specified quantity when the delivery note is added. 

However, the sale of an item is not the only transaction that results in a goods issue. For example, if five pieces of an item are found damaged in the warehouse as a result of water damage, they are removed from the warehouse. They cannot be sold because they are now damaged. In this case, you have to post a separate goods issue using the function described here.

Goods Receipt

The Goods Receipt function enables you to increase the stock level in situations that are not a direct result of a marketing document entry.

When an item is purchased, the warehouse stock is automatically increased when the transactions are entered in Purchasing. For example, if a goods receipt PO is entered, the warehouse stock is increased by the specified quantity when the goods receipt PO is added.

However, the purchase of an item is not the only transaction that results in a goods receipt. For example, a goods receipt may be necessary if, after carrying out a physical inventory, you establish that part of the quantity stored has not been taken into consideration. You can enter the overlooked quantity by means of a goods receipt in the system.

Former Member
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Ok...

If I try a good issue as specified, the Stock Diff/Losses A/c gets debited and Closing Stock a/c gets credited. But I requrie it to be debited under different expense account, please guide me a better way other than passing a JE to equalise this?

thanks,

Avi

former_member204969
Active Contributor
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On the Goods Issue transaction you can set active the account code column and you can select an appropriate account code.

Former Member
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Using GI, the process appears correct, but the document is still displays OPEN status. Please suggest to solve this.

former_member204969
Active Contributor
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The status of a Goods Issue transaction is alwas open. It has no significance.

Former Member
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Hai!

If u mean, direct consumption of paint. U can use Goods Issue Document under Inventory Transaction.

>> This will Credit the Stock Acc and Debit an Expense Acc

If u mean, stock transfers from stores to some project whs use Inventory Transfer under Inventory Transaction.

>> This will credit and debit the stock Acc based on G/L accounts By setup.

Regards,

Thanga Raj

Former Member
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Thank you.

It is not stock transfer.

The item is for sale and also for internal consumption.

Is GOODS ISSUE function applicable only for this case? or please explain the other functionalities/purposes of GOODS ISSUE/RECEIPT.

regards,

Avinash

Former Member
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Hi Avinash,

The item is only for consumption then you defined

Inventory and Purchase only its using for internal consumption so

you use goods issue document

Regards

Jambulingam.P