To accept changes, click Batch Update button. This will create (or update) inventory revaluation entries under Settings tab.
This feature will also work when drilling-down into Inventory on hand account within Summary tab or within financial statements. This allows to recalculate average costs as at the report date.
Currently the recalculation is using FIFO (first in first out) method but the plan is to support other methods too. This will allow to switch between methods based on business requirements.
@lubos there is still an issue with calculation of items that are produced not purchased even if production order got only one Finished Item and this is distorting the financial statements, and we also don’t know how much a product is costing us. Previously it would give us precise info about the cost of finished items.
Also, the Revaluation worksheet under reports is gone. I think that was better still in case if we want to see that report at different periods without making new revaluations.
Thanks @lubos. Just checked its calculating it now but still the cost is not matching the avg cost of automatic revaluation (it is not due to FIFO).
Apart from that also noticed the worksheet is also missing other costs such as duties etc where qty is zero just amount is entered.
Any drilldown menu to see from where these suggested costs are coming would be excellent.
Edit: Just checked this in a Test Business its working fine. But still if possible, to know how these costs are coming would be great.
@lubos can you explain how these extra costs (duties freight etc) are applied in FIFO? In Average method it makes sense where the costs is added to the total value and divided by total qty but in FIFO it is applied to which invoice? As there is no option in allocating those extra costs to a Purchase Invoice. So right now it is even more confusing.
@Patch i am not talking about Freight-in buitin feature.
What happens in this case. To which qty this cost is allocated? When is this capitalized cost expensed out? As it is not linked to any Qtyonhand/Qtyowned and in FIFO qty of older purchase invoice is expensed out first.
@lubos Checked different scenarios in a Test business and found that Recalculation screen carry those extra costs indefinitely and add those amounts whenever you are recalculating even if those costs are not relevant at that point. Yes it now takes those amounts into consideration but doesn’t expense it out even when the qty is sold to which those costs belong.
