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Account Usage Stock - Purchase Cost Card

This page describes the fields on the 'Purchase Cost' card of the Account Usage Stock setting. Please follow the links below for descriptions of the other cards:
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Each of the fields on the 'Purchase Cost' card requires you to enter an Account Number. In each case, you can use the 'Paste Special' function to help you choose the correct Account.
Dom. Purchase Accruals, EU Purchase Accruals, Import Purchase Accruals
If you are maintaining stock valuations in the Nominal Ledger, the value of the goods that you receive into stock will be held in a Purchase Accrual Account until you receive and enter the relevant Purchase Invoice. The Purchase Accruals Account will be credited from Goods Receipts and debited from Purchase Invoices that you create from Purchase Orders and Goods Receipts (depending on the Purchase Order Item Transfer Control option that you are using in the Purchase Invoice Settings setting in the Purchase Ledger).

Use these fields to specify Purchase Accruals Accounts for each VAT Zone, to be used if you have not specified Purchase Accruals Accounts at the Item Group level. Please refer here for details about how the Purchase Accruals Account will be chosen in each Purchase Order and Goods Receipt row, here for details about how Accounts will be chosen in Purchase Invoices created from Goods Receipts and here for details about how Accounts will be chosen in Purchase Invoices created from Purchase Orders.

You can change the name of the EU Purchase Accruals A/C field if it is not suitable. Using the VAT Zone Label setting in the Sales Ledger, you can replace the string "EU" with your own string (for example "SACU" in South Africa).

Freight Accrual, Customs Accrual
If you are maintaining stock valuations in the Nominal Ledger, the value of any Freight and Customs charges in Goods Receipts will be held in separate Freight and Customs Accrual Account until you receive and enter the relevant Purchase Invoice.

Specify here the Freight and Customs Accrual Accounts that are to be credited from Goods Receipts and debited from Purchase Invoices that you create from Purchase Orders and Goods Receipts.

You can add an overall Freight and/or Customs charge to a Goods Receipt using the Freight and Customs fields in the footer of the 'Items' card, or you can add a charge to an individual Goods Receipt row using the Freight or Customs field on flip H of that row.

Extra Cost
If you incur any Extra Costs when receiving Items into stock, you can include those Extra Costs in Goods Receipts (and Returned Goods records). They will then be credited to the Expense Account that you specify in this field.

To add an Extra Cost to a Goods Receipt, use the Extra Cost field on flip C of each row in the Goods Receipt record. Note that this Extra Cost will not be accrued i.e. it will not be included in any Purchase Invoices that you create from the Goods Receipt or from the originating Purchase Order. Hence the need to specify an Expense Account not an Accrual Account in this field. If you need Extra Costs to be accrued, you should record them using different fields in the Goods Receipt from where they will be posted to the Freight or Customs Accrual Accounts described immediately above or the Extra Cost 1-5 Accrual Accounts described immediately below.

Extra Cost 1-5 Accrual
If you are maintaining stock valuations in the Nominal Ledger, the value of any invoiceable Extra Costs in Goods Receipts will be held in an Extra Cost Accrual Account until you receive and enter the relevant Purchase Invoice.

Specify here the Extra Cost Accrual Accounts that are to be credited from Goods Receipts and debited from Purchase Invoices that you create from Purchase Orders and Goods Receipts.

You can add an overall Extra Cost to a Goods Receipt using any of the five fields on the 'Extra Costs' card, or you can add an Extra Cost to an individual Goods Receipt row using one of the five fields on flip H of that row).

The five Extra Cost fields allow you to record Extra Costs of different kinds separately if necessary. If you want to give a name to each of the Extra Cost Accounts so that you always enter the same kind of Extra Cost in the same field, use the User Defined Field Labels - Extra Costs setting in the Stock module.

Consignment Purch. Accruals

A Consignment Stock Item is one that you receive from a Supplier that will remain the property of the Supplier until you sell it. The Supplier will therefore not issue a Purchase Invoice until you sell the Item. The Item never belongs to you: it remains the property of the Supplier until you sell it.

As you do not own a Consignment Stock Item and it may remain on your premises for some time, you may wish to have its value included in a dedicated Purchase Accruals Account. This Account will be credited when you receive the Item and debited when you do receive the Purchase Invoice.

If you need to use the Consignment Stock feature, use this field to specify which Account is to be used as the dedicated Consignment Purchase Accruals Account. Please refer here for more details about the Consignment Stock feature.

BuyBack Accrual
The BuyBack Accrual Account is used by the BuyBack feature: please refer to the pages describing the Configuration of this feature and its Workflow for details.
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Settings in the Stock module: