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Former Member
Sep 25, 2011 at 01:00 PM

Wrong treatment of AUC


Dear experts,

Firstly, I'll explain my situation.

There is one capital project which is still under construction. Project owner has instructed MM person to do GRN for his project so he can capture the costs. However, the GRN is actually a down payment for the project. Let say 10% of total project costs.

Later, AP clerk do the payment to the vendor based on GRN created based on the invoice received.

So, when CO person doing settlement for the project, the cost being posted to AUC account based on the settlement rule that was created.

In my opinion, this is totally wrong. Cost should not be in AUC as it is down payment to vendor and there should not be any GRN for the project.

Right now, I would like to correct this problem.

Any advice would be greatly appreciated on what is the best solution for these issues.