charging vendors for using materials

[former_member601006]

what is best way to implement vendor charging with markuo in MM for using the materials.

This is the scenario.

The business puchase goods (Materials) in bulk from vendor ABC.

business want to allow their subcontractors (vendors XYZ, 123 etc) to consume the material and charge them with a markup.

we are thinking of using return PO option with credit memo, is there any better option?

[ankurch · Accepted solution]

Hi There,

Its a good option using return PO and then Credit memo, you will have end to end traceability, but I think you can explore more option if you also Incorporate SD!

thanks,

[former_member601006]

will it work for below example:

For Example:

Buying cost (from Samsung): $10 each
Selling cost (to subcontractors): $11 ($10 + $1 markup)

Instead of using the SD module business decided to use MM module, using return PO.

Question:

When selling x10 screens to subcontractors, can you please advise which path below is the best approach to balance the FI posting (Debit and Credit ), also can you please verify the debit/credit posting created in each step ?

Path A (single step):

1- Create Return PO (using Inventory) Material against vendor
(account assignment = blank )

MIGO - Goods Receipt with movement type 161
Inventory reduced by x10
Inventory Acc CR $110
GR/IR account DR $110

MIRO - Credit Memo

GR/IR account is CR $110
Vendor account is DR $110