Feasibility of Using P/L Account in Physical Inventory Difference Posting

[joydeep_mukherjee2]

Dear All ;

Can I use P/L Account in GBB-INV .Its a Client requirement at the time of Physical Inventory Document Posting .

If Gain then Profit

If loss then Loss account .

is it Possible ?

best '

Joydeep Mukherjee

[BijayKumarBarik · Accepted solution]

Hi,

The G/L account is used for physical inventory for gain/Loss is known as Gain/Loss Inventory differences account which is a P/L account by nature.

When you do Physical Inventory process,based on your count property(plus or minus),the movement type triggers(701 or 702) resulting account entries for Stock account against Gain/Loss Inventory differences account.

You will have following accounting entry based on movement types.
For movement type 701
Stock account(BSX) - Dr
Gain/Loss Inventory differences account-(GBB-INV) - Cr

For movement type 702
Stock account(BSX) - Cr
Gain/Loss Inventory differences account-(GBB-INV)  - Dr

Regards,

Biju K

[Former Member]

Hi Joy,

As per business process, the physical inventory difference should be posted as gain/loss.

Practically it is "P & L Account".

We assigned  P & L for GBB-INV in client system.

You can consult FI person also.

Regds,

Nilesh