Instead of starting a new thread I thought it was better to add to this old post of mine. But maybe I have to move the question to a new thread?
There is an issue I face with COGS and Average Cost in connection to Quantity on Hand and Quantity to Receive. I am pretty sure that Manager calculates Average Cost based on both quantities (on Hand + to Receive). This creates no issues if the COGS is only based on the actual cost of the products. In our case though COGS is also based on transport and import duties which we pay once the goods arrive (transport) and once the goods are cleared from customs (duties).
The issue is that often we have Purchase Invoices (and we pay them) for the goods themselves and transport but the goods stay in a bonded warehouse for some time. This means that until all goods are cleared we cannot have a precise picture of the Average Cost of items as one part of the costing is missing (duties). Hence the Average Cost will always be lower than what we expect it to be once also duties on the remaining part of the goods are paid for.
This becomes a problem when some of the goods are held in bonded at the end of the year as we need to file our accounts for tax purposes and the COGS will appear lower than it should be (hence we pay more taxes as our profits appear higher, though we “catch up” the following year when the goods are cleared and the Average Cost increases).
I wonder if there is a way to manage this in Manager, i.e. have it to calculate the Average Cost and COGS only on the Quantity on hand.