COGS for Non Inventory Purchasing

Hi Cindy,

I seems to not understand the case, it all starts with a purchase requisition on the Work Oder for an non-inventory part. From the purchase requisition a purchase order is created.

Then the non-inventory part arrives and we get a cost line on the work task, this line is seen as a preliminary cost on the work task and we don’t handle the accountings on the work task for it, it is there to facilitate for early invoicing of the customer.

Then the supplier invoice comes and we handles the M93 from the invoice and repost it to TP3.

I’m not following as this is as it was in IFS Application 9 also with the use of Cost Sold service with T3 on the supplier invoice cost.

/Hans

Hi Hans,

The above mentioned case was entered when we saw this issue in Apps 9. It has just never been handled in a way that makes sense to Service and/or the accounting that happens in Service oriented businesses.

Hi all,

I have a question/problem related to the above.

You mention that when the Supplier Invoice comes, IFS handles the M93 from the invoice, and reposts it to TP3. This doesn’t happen if the Work Task Transaction is marked as “Finally Posted” though.

As you say, the preliminary cost is there to facilitate the early invoicing of the customer. Once this is done, we close the Work Order (so that both the Work Order and Work Task move to a Finished state). Once the Transfer Reposting Transactions has run again (overnight), then the Work Task Transaction is automatically marked as “Finally Posted”.

It is possible to re-open the Work Task, and there is a Right Mouse Button available to “Remove Finally Posted” - however this errors. Having dug into the code, this is because the Work Task Transaction is now in a status of Overtaken.

As a result of this, there is no TP3 posting, and the amount just remains sitting on the M93 posting with no way to remove it.

Thanks,
Chris