The capability to include freight in the inventory balance has been improved to be reflected in the General Ledger. This makes it possible to easily track the freight value by posting it to a separate GL account.
When creating Purchase orders (SPO) and receiving goods, freight percentage will by default be updated from the product, if a freight percentage is set up in the Product (ART) application. Freight percentage may also be added or adjusted manually, directly on the Purchase order item (SPOITEM) or Goods reception item (SSAITEM). This will affect the landed cost on the Goods reception item (SSAITEM) and the cost when the stock is allocated to productions or sold to customers.
Previously, the freight percentage on purchased goods did not impact the inventory balance in the General Ledger, leading to reconciliation difficulties between the cost in the GL and the cost in sub-ledgers. Changes are now done to avoid these challenges, and it will now be possible to add freight to inventory balance in GL by activating a company setting.
The new company setting, Include freight in inventory balance, is an on and off setting. By activating this setting, inventory balance in GL will have separated items for the freight value.
There will also be some changes to applications and reports displaying inventory balances. Inventory balances (INVBAL) application, and related reports, will display separate columns for freight if the setting is activated, and the total balance will be included freight. The Stock value register (SVR) application, which displays inventory values for products, will also show additional columns and fields for the freight value.
In the Stock (STOCK) application, and in the application showing Stock Items (STIITEMS), the Work In Progress values will be replaced by Freight values, allowing the user to see the amount of freight values that is put into stock. Changes in these applications will affect values that are displayed in the tabs Totals, Stock Value History, Stock transaction types and Stock transactions. Also in the Product (ART) application, in the Stock tab where stock values are displayed, the freight value will replace the work in progress values.
It will be possible to post freight values to separate GL accounts by using the General ledger default account assignments (ACD) application to link the GL accounts. 2 new default account settings have been created to make this possible:
· Account default for inventory, balance side : Inventory Balance, Freight value
· Account default for inventory, result/cost side : Inventory Balance Changes, Freight value
If these settings are not linked to any GL accounts, the freight will be added to the existing GL accounts for the inventory balance.
Cost calculation for production and billing (sales invoices) will not be affected by these changes as freight is already included in the total cost in production and billing system.
Alberina Shala
Classification: USEFUL
The capability to include freight in the inventory balance has been improved to be reflected in the General Ledger. This makes it possible to easily track the freight value by posting it to a separate GL account.
When creating Purchase orders (SPO) and receiving goods, freight percentage will by default be updated from the product, if a freight percentage is set up in the Product (ART) application. Freight percentage may also be added or adjusted manually, directly on the Purchase order item (SPOITEM) or Goods reception item (SSAITEM). This will affect the landed cost on the Goods reception item (SSAITEM) and the cost when the stock is allocated to productions or sold to customers.
Previously, the freight percentage on purchased goods did not impact the inventory balance in the General Ledger, leading to reconciliation difficulties between the cost in the GL and the cost in sub-ledgers. Changes are now done to avoid these challenges, and it will now be possible to add freight to inventory balance in GL by activating a company setting.
The new company setting, Include freight in inventory balance, is an on and off setting. By activating this setting, inventory balance in GL will have separated items for the freight value.
There will also be some changes to applications and reports displaying inventory balances. Inventory balances (INVBAL) application, and related reports, will display separate columns for freight if the setting is activated, and the total balance will be included freight. The Stock value register (SVR) application, which displays inventory values for products, will also show additional columns and fields for the freight value.
In the Stock (STOCK) application, and in the application showing Stock Items (STIITEMS), the Work In Progress values will be replaced by Freight values, allowing the user to see the amount of freight values that is put into stock. Changes in these applications will affect values that are displayed in the tabs Totals, Stock Value History, Stock transaction types and Stock transactions. Also in the Product (ART) application, in the Stock tab where stock values are displayed, the freight value will replace the work in progress values.
It will be possible to post freight values to separate GL accounts by using the General ledger default account assignments (ACD) application to link the GL accounts. 2 new default account settings have been created to make this possible:
· Account default for inventory, balance side : Inventory Balance, Freight value
· Account default for inventory, result/cost side : Inventory Balance Changes, Freight value
If these settings are not linked to any GL accounts, the freight will be added to the existing GL accounts for the inventory balance.
Cost calculation for production and billing (sales invoices) will not be affected by these changes as freight is already included in the total cost in production and billing system.
Release date: 22 February 2023