Ashley J Gittins wrote:
On Fri, 27 Apr 2007, Charley Tiggs wrote:Howdy folks... I have a perplexing situation that I'm trying to figure out. Let's say a client generates a purchase order for 30 items. Two weeks later, we receive 20 of those items and we receive in the 20 we got within LSMB. 1 week later, we receive another 12, which we also received into LSMB for a total of 32. Now, here's where it gets weird: We didn't adjust the quantity of items on the purchase order because we want to keep a record of what we actually ordered vs. what was received. Consequently, when we turn that purchase order into an invoice, we're charged for 32 items (which is correct), but when we go back to review what should be a closed purchase order, we find a line item with a qty of -2 (30 originally ordered - 32 items actually received). How should I be handling this?
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Hi Charley,I am assuming that the split supply is not really a part of this issue, and it's just the oversupply part that's the problem - let me know if that's not the case.
You assumed correctly. The split supply is not an issue for us, it's the over supply.
The way we deal with this is we simply alter the vendor invoice. So the purchase order will (and should) show the original ordered amount, but the vendor invoice will show the actual received amount(s). In this case I would probably add another line to the vendor invoice with the 2 over-supplied items at zero cost, or average the price out on the original line for 32 units. I'd also add an internal note to the vendor invoice explaining the oversupply.
The only reason we don't use this approach is that we're dealing with large numbers of products that we receive in partial shipments. The utility under Shipping -> Receive actually is the best approach for us to use. We're just a little confused on how to deal with the oversupply.
If you are using shipping or something then I don't know how that will work - we found that SL's shipping/receiving caused very weird things to happen and am sure it has destroyed our onhand values over time so we only use p/o's and direct conversion to vendor invoices.
Good to know. Sounds like I've either run across a bug or I'll need to help the client adjust their processes.
I don't know if that's GAAP but it should track things properly and you get to keep an accurate account of what happened (assuming I am understanding your problem).
You understood my problem perfectly. Thanks, Ashley! Charley