I have tested the current setup and while it definitely works but having to do write-offs on two steps: (1) Inventory Write-offs for quantities and later (2) Journal Entries for account selection with manually calculated amounts isn’t ideal.
There must be a better way to handle this.
Periodic inventory concept have stripped the Manager of many of its features and it made costing difficult and manual.
I was hoping that periodic revaluation of inventories would serve as a periodic correction to perpetual records in case they were off for some reason.
Hi every one,
Seems that we are in the most painful era when it comes to Stock Management and its Feature changes/removals and updates.
I do not want to prolong my opinions; how ever, the removal of this Feature in question - Inventory Write-off Allocation A/c - from the Write-off window is nether good for both bookkeeping purposes as well as transaction tracing and automation/entry simplification. It also affects past transactions.
One example - one my clients - a construction company - has been using this feature for years. It has construction materials in Store. When materials are issued to construction sites/projects, we trained them to use the "Removed Feature or Allocation Account - by Debiting Materials Used Cost A/c. Now every thing changed ! what do we Debit now @Lubos ? Where do we Go - General Journal is not Feasible and is least professional method of making such stock-related entry let alone being too difficult for our least-experienced bookkeepers thinking about what to debit/Credit.
I request @ mr Lubos to make the Stock management Features of the Software to be an stable environment and bring this feature back again.
Regards
all inventory write-off allocated to default cost of inventory account in P/L and calculated depends on item cost of unite if you click on default cost of inventory account that appear in summary page you cant get it but when you run General Ledger Summary report and click on default cost of inventory account you will see all inventory write-off record
@Rami_Gomaa, how about the PnL and Balancesheet, I do not see any changes in these basic reports ? - e. g. I written-off ( 10 items@ 10 = $100) . I see this $100 in the GL report only in Cost of sales - where is the Credit of Inventory assets a/c ?
am I beating about the Bush
Why not rename default Inventory - cost expense account to Materials Used ? It seems like they are not re-selling these materials so everything is being written-off into singular expense account.
There might be construction company sell those materials but it’s challangeing to record it as thousands item at sales invoice (where recording them as item would affect the COGS account). Instead, they simply record the revenue in account at sales invoices (would recorded as revenue and receivable only) then the inventory would write-off in different method, such used inventory write-off tab to record the COGS?
I would like this feature back as well. One example for my business is when we give some items as gifts to employees each month and would like to record the cost of these materials in an expense account.
@Burhania yes, that’s what we need to clarify to @lubos there’s no way to see what is written-off in inventory assets you just see qty but no value, and if it calculated in backend why we cant see it
Similar to our Colleague here @VACUUMDOG
Sometimes we gift/barter the goods for something else like a commission or samples etc…
I write off the Qty against sales commission or the service account to fairly represent the cost of both COGS and the other service we used @lubos
I have read through all the entries related to this issue and it seems to me that the above quote from Mr. Lubos is very much at the heart of the issue. It also seems that, had they been asked, many would have said that the loss of this feature to accommodate a new feature would be a very big step back. I am also very surprised that Mr. Lubos is now suggesting (requiring!) the use of a journal entry, of all things, as a workaround. All of that being said, I still do not know how to track the cost of write-offs on an inventory item by inventory item basis. Any help with is would be appreciated.
If you are writing off into default cost of goods sales account, then inventory write-offs work the same way.
If you want to use another expense account then you will need to decide at what unit costs you want to do the write-off. There is now new report Inventory Costing Calculation Worksheet which will calculate your unit costs based on the selected date and valuation basis.
Call me thick if you want but…
I don’t know how to do what is suggested in para. 1
As for para. 2, I really don’t know what you are suggesting, and the inventory group of reports does not contain a report called “Inventory Costing write-offs calculation worksheet”. Furthermore,based on the use of “worksheet” I am guessing I will still have to create and use a J/E every month.
The change in question did not preserve my data in its original form and so I am looking at literally thousands of J/E’s to correct my records, if it is even possible to do so!