Node Preferences - Purchasing - General
In this area of preference, you set the costing method to use when items are received at a Voucher Cost that is different from the current Inventory Cost. Voucher Cost is an important value because of its potential impact on Inventory Cost and ultimately on the inventory valuations that are entered on financial reports.
There are two primary questions that need to be answered regarding Voucher Cost:
1. How is the Voucher Cost field populated? This is answered by the "Cost to use for POs and Vouchers" preference
2. What happens if I receive items into Inventory at a Voucher Cost different from current Inventory Cost? This is answered by the Inventory Costing Method preference.
Cost to Use for POs and Vouchers
The Cost field in the item's Inventory record is the main field for tracking cost. However, there is also an Order Cost field in the item record. The Order Cost field provides an additional field for tracking cost and is used with the Trade Discounts and Foreign Currency Orders features.
So which field will be used to populate PO Cost when a user creates a PO (or Voucher Cost when a user creates a voucher)? That will be determined by the "Cost to Use for POs and Vouchers" preference. The default setting for the preference is to use Order Cost on POs and Vouchers. However, the default value for Order Cost field is 0.00; therefore, unless you are doing something special with the Order Cost field, like using Trade Discounts or Foreign Currency Orders, the Order Cost field will be actually be populated from the Cost field.
The preferences in this area can apply to either purchase orders or vouchers.
| Preference | Description |
|---|---|
| Cost to use for POs and Vouchers |
Order Cost: The item's Order Cost in Inventory is used to populate the PO Cost field for items. |
| Inventory Costing Method | Whether the Voucher Cost is populated by Order Cost or Inventory Cost, what happens when the voucher is updated the Voucher Cost differs from the Inventory Cost? That question is answered by the "Inventory Costing Method" preference. By default, the quantities received at the new cost are averaged in with the quantities at the existing cost. The following table lists the available options for the "Inventory Costing Method" preference. Average: This is the default setting. If items are received at a Voucher Cost that is different than the current cost in inventory, the new quantities at the new cost are averaged in with the existing quantities at the old cost. Leave: If selected, inventory Cost is always left unchanged. Overwrite: If selected, the Voucher Cost becomes the new Cost in Inventory. |
| Restrict to one vendor per PO/voucher | When enabled, only items which match the document Vendor can be added to a PO or Voucher. This preference only applies to receiving vouchers; it does not apply to transfer vouchers. |
| Fee Types | Define a list of the "fee types" (reasons for applying fees).must be set at the subsidiary level or lower; fee types cannot be set at the global level. Fee types are replicated between Retail Pro 9 and RP Prism. Click the Edit button ( ) to display a text box for entering a new fee type. Click the check mark icon to save the changes. |
Purchasing > General Preferences
