{"id":477,"date":"2012-05-05T11:47:34","date_gmt":"2012-05-05T11:47:34","guid":{"rendered":"http:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/?p=477"},"modified":"2025-01-13T05:16:00","modified_gmt":"2025-01-13T05:16:00","slug":"adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac","status":"publish","type":"post","link":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/","title":{"rendered":"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac"},"content":{"rendered":"

It is often identified that custom clearing agents or freight and insurance handlers do not bill the charges at the time of delivery of goods but send an accumulated bill on a monthly basis and then it becomes a headache for company to prorate it to inventory that is already shipped or consumed.
\nThen the company is left with following alternatives:
\n1. Not to prorate the cost to inventory and directly add it to Cost of Sales at the end of year, hence compromising the costing effect.
\n2.\u00a0Wait for making the stock receipt till the time we receive a bill from vendor, which is not very practical.
\n3.To struggle and convince the vendor to send bills at the time of delivery, which your vendor might not agree to do.
\nAnother alternative is to create a provisional vendor in Accpac Accounts Payable module for the purpose of prorating an approximation of additional costs on Inventory and then adjust the costs when the actual ones are known.
\nLet\u2019s see in detail how this is accomplished:
\nFirstly we need to create a Provisional Cost Vendor Group and Account Set and Vendor in Accounts Payable module where the account set will link it to an account in General Ledger for Provisional Cost Vendor. Now go ahead and create the receipt selecting Provisional Cost Vendor (Let\u2019s name him PR01) PR01 and put in the approximation of additional costs which is generally known to Accounts Team by experience. Then the respective Invoices against Material vendor and Provisional Cost Vendor shall be made.<\/p>\n\n\n\n\n\n\n\n
<\/td>\nDr<\/td>\nCr<\/td>\n<\/tr>\n
Inventory<\/td>\n100<\/td>\n<\/td>\n<\/tr>\n
Material Vendor<\/td>\n<\/td>\n100<\/td>\n<\/tr>\n
Inventory<\/td>\n30<\/td>\n<\/td>\n<\/tr>\n
Provisional Cost Vendor (PR01)<\/td>\n<\/td>\n30<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Next, when the actual invoice is received from your Additional Cost vendor, book it on the name of vendor (Let\u2019s name him AD01) AD01 in Accounts Payable Module as a summary type invoice, and select the GL created as \u2018Provisional Cost Clearing A\/c\u2019 under Income Statement.<\/p>\n\n\n\n\n\n
<\/td>\nDr<\/td>\nCr<\/td>\n<\/tr>\n
Provisional Cost Clearing A\/C<\/td>\n40<\/td>\n<\/td>\n<\/tr>\n
Additional Cost Vendor (AD01)<\/td>\n<\/td>\n40<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Now to reduce the payable for Provisional Cost Vendor and increase the same for Additional Cost Vendor, pass a Credit Note\/ Adjustment entry in Accounts Payable module while selecting the invoice created through PO Module and selecting the same \u2018Provisional Cost Clearing\u2019 account to be credited.<\/p>\n\n\n\n\n\n
<\/td>\nDr<\/td>\nCr<\/td>\n<\/tr>\n
Provisional Cost Vendor (PR01)<\/td>\n30<\/td>\n<\/td>\n<\/tr>\n
Provisional Cost Clearing A\/C<\/td>\n<\/td>\n30<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Finally to adjust the difference between approximate and actual additional cost, create a GL-JE debiting Provisional Cost Clearing and Crediting COGS or Cost Variance account.<\/p>\n\n\n\n\n\n
<\/td>\nDr<\/td>\nCr<\/td>\n<\/tr>\n
COGS\/ Cost Variance<\/td>\n10<\/td>\n<\/td>\n<\/tr>\n
Provisional Cost Clearing A\/C<\/td>\n<\/td>\n10<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

This way the inventory costs for each delivery can be identified and then added to COGS at the end of year.
\nHope this helps ease your work.<\/p>\n","protected":false},"excerpt":{"rendered":"

It is often identified that custom clearing agents or freight and insurance handlers do not bill the charges at the time of delivery of goods but send an accumulated bill on a monthly basis and then it becomes a headache for company to prorate it to inventory that is already shipped or consumed. Then the\u2026 Read More »<\/a><\/span><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[569,1341,2167],"class_list":["post-477","post","type-post","status-publish","format-standard","hentry","category-sage-accpac","tag-costs","tag-inventory-control","tag-receipt"],"yoast_head":"\nAdding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac\" \/>\n<meta property=\"og:description\" content=\"It is often identified that custom clearing agents or freight and insurance handlers do not bill the charges at the time of delivery of goods but send an accumulated bill on a monthly basis and then it becomes a headache for company to prorate it to inventory that is already shipped or consumed. Then the\u2026 Read More »\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/\" \/>\n<meta property=\"og:site_name\" content=\"Sage 300 ERP \u2013 Tips, Tricks and Components\" \/>\n<meta property=\"article:published_time\" content=\"2012-05-05T11:47:34+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-01-13T05:16:00+00:00\" \/>\n<meta name=\"author\" content=\"sage300\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"sage300\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/\",\"url\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/\",\"name\":\"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac\",\"isPartOf\":{\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#website\"},\"datePublished\":\"2012-05-05T11:47:34+00:00\",\"dateModified\":\"2025-01-13T05:16:00+00:00\",\"author\":{\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#\/schema\/person\/1aced4e22c30ccf606960de27c9542f5\"},\"breadcrumb\":{\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#website\",\"url\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/\",\"name\":\"Sage 300 ERP \u2013 Tips, Tricks and Components\",\"description\":\"Explore the world of Sage 300 with our insightful blogs, expert tips, and the latest updates. We\u2019ll empower you to leverage Sage 300 to its fullest potential. As your one-stop partner, Greytrix delivers exceptional solutions and integrations for Sage 300. Our blogs extend our support to businesses, covering the latest insights and trends. Dive in and transform your Sage 300 experience with us! \",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#\/schema\/person\/1aced4e22c30ccf606960de27c9542f5\",\"name\":\"sage300\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/c3b4325cb326e36467f945b9b9adf2bb85e907fe092d42eb36b39743b492e626?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/c3b4325cb326e36467f945b9b9adf2bb85e907fe092d42eb36b39743b492e626?s=96&d=mm&r=g\",\"caption\":\"sage300\"},\"url\":\"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/author\/sageaccpac\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/","og_locale":"en_US","og_type":"article","og_title":"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac","og_description":"It is often identified that custom clearing agents or freight and insurance handlers do not bill the charges at the time of delivery of goods but send an accumulated bill on a monthly basis and then it becomes a headache for company to prorate it to inventory that is already shipped or consumed. Then the\u2026 Read More »","og_url":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/","og_site_name":"Sage 300 ERP \u2013 Tips, Tricks and Components","article_published_time":"2012-05-05T11:47:34+00:00","article_modified_time":"2025-01-13T05:16:00+00:00","author":"sage300","twitter_card":"summary_large_image","twitter_misc":{"Written by":"sage300","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/","url":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/","name":"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac","isPartOf":{"@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#website"},"datePublished":"2012-05-05T11:47:34+00:00","dateModified":"2025-01-13T05:16:00+00:00","author":{"@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#\/schema\/person\/1aced4e22c30ccf606960de27c9542f5"},"breadcrumb":{"@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/2012\/05\/05\/adding-additional-costs-to-inventory-when-they-are-not-know-at-time-of-receipt-in-accpac\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/"},{"@type":"ListItem","position":2,"name":"Adding Additional Costs to Inventory When They Are Not Know At Time of Receipt in Accpac"}]},{"@type":"WebSite","@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#website","url":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/","name":"Sage 300 ERP \u2013 Tips, Tricks and Components","description":"Explore the world of Sage 300 with our insightful blogs, expert tips, and the latest updates. We\u2019ll empower you to leverage Sage 300 to its fullest potential. As your one-stop partner, Greytrix delivers exceptional solutions and integrations for Sage 300. Our blogs extend our support to businesses, covering the latest insights and trends. Dive in and transform your Sage 300 experience with us! ","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#\/schema\/person\/1aced4e22c30ccf606960de27c9542f5","name":"sage300","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/c3b4325cb326e36467f945b9b9adf2bb85e907fe092d42eb36b39743b492e626?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/c3b4325cb326e36467f945b9b9adf2bb85e907fe092d42eb36b39743b492e626?s=96&d=mm&r=g","caption":"sage300"},"url":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/author\/sageaccpac\/"}]}},"_links":{"self":[{"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/posts\/477","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/comments?post=477"}],"version-history":[{"count":2,"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/posts\/477\/revisions"}],"predecessor-version":[{"id":35761,"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/posts\/477\/revisions\/35761"}],"wp:attachment":[{"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/media?parent=477"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/categories?post=477"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.greytrix.com\/blogs\/sageaccpacerp\/wp-json\/wp\/v2\/tags?post=477"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}