Kindly provide the option of selecting Inventory Location in Journal Entry Tab.
My company has different branches in different locations. Head Office maintains Branches Current Account in its Books of Accounts and reciprocal accounts are maintained in branches. Branch is not our customer so can not issue sales invoice and head office is not a supplier so can not issue purchase invoice. Inventory Transfer Tab transfers goods in locations that we provide. It does not transfer goods to any ledger account with amount. It only transfers quantity.
Transfer of goods between head office and branch is possible with journal entry and selection of inventory location in Journal Entry tab is missing. Kindly provide the tab so that, we may use that according to our need. Thanks
You need to explain your use case further. If you manage the organization as one company and transfer inventory between the main office and a branch, no value is involved, only quantity. So the inventory transfer transaction accomplishes all you need. But it almost sounds like you are trying to maintain accounts as though the branches are separate companies. If that is the case, you cannot use an inventory transfer. Despite what you say, the head office is acting as a customer or supplier (depending on which way the inventory moves). So inventory value must be included. If you are treating the branches as separate companies, you cannot transfer value from one company to another with a journal entry. And Manager does not have the ability to consolidate accounting between different business entities.
Not all accounts but some accounts are maintained separately. I am not treating it like another entity. I am preparing accounts in branch debtor system (a method of branch accounting). I just need inventory location selection in journal entry. That will resolve my issue and I don’t think it is a big deal. When cash receipt and payments have the option then why can’t in journal entry.
I’m not an expert on this. But based on my understanding, Manager is not suitable for branch debtor accounting. I would appreciate @tony’s opinion on this.
Manager can be used for branch accounting and I am sure of it. Just need inventory location selection tab on journal entry. Hope it will appear soon.
@Azeem_Afzal, I agree with @Tut that Manager is not set up for branch accounting unless you are referring to the use of separate control accounts for each branch. As indicated by @Tut the inventory transfer feature allows you to transfer inventory between locations without the requirement to do it by journal entry.
My request is to provide the option of inventory location selection in journal entry. It is as simple as this.
Hope I will see it soon.
@Azeem_Afzal, concerning your request for adding inventory location feature in journal entry, in the scenario as explained by you, may not work out as you intend. To my understanding, you want to transfer an item (or items) from inventory location under head office (acting as supplier) to an inventory location under branch office with certain value (or with add-on value).
If this is the case, it involves two locations, one to transfer from (under head office) to the other (under branch office) or vice versa.
Under above scenario, your request for adding just one inventory location under is not enough. It will need two location to transfer from and receive into.
In my opinion, you may need a work around.
Leave everything what I will do with branch accounting or not.
When I debit or credit any inventory Item through journal entry with amount and its quantity, amount will be deducted and also quantity but from from unspecified location. I just want to tell manager from where to deduct the quantity. Like warehouse, shop 1 etc. It is as simple as this.
Hi Azeem, after the journal entry, have you tried using inventory transfer? Try create one , keep the from space empty (unspecified location) and for transfer to you may select your intended location. I’m sure, this should solve your problem. That said, you don’t need inventory location for journal entry in your case. I’m just trying to help not oppose you.
However, an inventory location would be helpful in numerous other cases, I have been a strong advocator for addition of inventory location feature in journal entry.
I am not taking your comments as negative. Let me explain you a scenario.
My company has a branch in different location and that branch is dependent but still maintain separate accounts in that location.
Head office sends good to its branch at cost (under debtor system method). This is not my sale nor the purchase of branch. This is just transferring goods from head office to branch.
In HO books of accounts, I will debit the Branch Current Account (under Assets) and Credit Inventory with Quantity and its cost. In HO accounts it can be done by inventory write off but inventory write off is not the best option to do so. Best option is to do it with journal entry.
In Branch Accounts, I will debit the inventory and credit the HO Current Account. It is only possible with Journal entry and inventory location selection tab is missing so, inventory goes to unspecified location.
If inventory location selector appears in JE, then my problem will be resolved.
I hope that I clear myself about what I am trying to do and also thanks for your help
Are we going to get inventory location selection tab on Journal Entry?
@Azeem_Afzal I was going to suggest that you request this be put into the ideas category, however, I discovered that there is a previous request already in the ideas category. Adding Location to Journal Voucher
Completing an Inventory transfers after entering the journal (as suggested by @sonicgroup) will be effective for both main office books and branch office books, until idea is implemented.