@Rakesh did you notice this thread?

 

Hi @EnzoFerrari 

Thank u :)

Just a confirmation for my case it should be M65 right?

@Rakesh depends on your business. If you decide not to absorb PO charges to inventory value its M65. 

We have some charge types absorbed into the inventory, hence would use M187 / M189 only like below

It would be good to align with Finance if you are not sure on how to make a call here

@Rakesh were you able to figure it out?

Hi @EnzoFerrari 

Thank u so much for the detailed explanation.

In my case I will be using M65.

Best Regards,

Rakesh

Hi @EnzoFerrari 

Just a query if charge types absorbed into the inventory, then in such case Posting Types M187/M189 should have same account that is connected with Posting Type M18??? Logically it should be same correct me if I am wrong.

Thanks,

Rakesh

Hi, Rakesh,
You could use same or different account for M10/M18, and M187/M189, as those are parallel couples…

On arrival, inventory value is booked as debit M1 credit M10 (ARRIVAL inventory event), and supplier invoice matched with receipt is booked debit M18 credit IP5 (APINVOICE, to simplify picture).
Charge absorbed on arrival are booked as debit M1 credit M189 (ARRCHG inventory event) and invoice matched with such charge as debit M187 credit IP5. 

So in case of balance sheet accounts, M18 closes M10 balance, and M187 closes M189. Please note that in some countries (e.g. France) cost accounts are used for inventory purchase, so this setup may depend on your local rules.

@Rakesh in our business, we use the same account. Thanks for the additional input @Adam Bereda. And yes, we are also based in Europe

Thanks a lot @Adam Bereda @EnzoFerrari 

Best Regards,

Rakesh Rout

Hi @EnzoFerrari @Adam Bereda 

Similarly, which Posting Control can be used for handling the Sales Charge Type??

Thanks in Advance.

Best Regards,

Rakesh Rout

We use M69

Thanks @EnzoFerrari 

Hello - Where do you mark the charge type so it is not absorbed in inventory value?  I am testing charge types and they are absorbing into inventory.

Thanks