1. Home
  2. /
  3. User Guides
  4. /
  5. Distribution
  6. /
  7. Accounting
  8. /
  9. Transfer group handling
  10. /
  11. Stock movements
  12. /
  13. (Accounting) Move item to...

(Accounting) Move item to non-conforming stock

Related topics

The following describes the accounting transactions that are created when you move an item from the normal stock in one warehouse, to the non-conforming stock in the same warehouse.

Cost type = Average purchase cost or Standard cost

Prerequisites

Quantity 1
Cost price 41.93
From normal stock warehouse CEN
To non-conforming stock warehouse CEN

Created transactions

Transaction type Description Amount
Debit		 Amount
Credit		 Calculation/Result/Additional info
901 Stock value   41.93
Cost price * Quantity moved

41.93 * 1 = 41.93

Warehouse CEN. The cost price for the item is retrieved from the Standard cost field in the Item/Warehouse file for the CEN warehouse.
942 Stock value non-conforming stock 41.93  
Cost price * Quantity moved

41.93 * 1 = 41.93

Warehouse CEN. The cost price for the item is retrieved from the Standard cost field in the Item/Warehouse file for the CEN warehouse.

Cost type = FIFO

Prerequisites

Quantity 2
From normal stock warehouse CEN
To non-conforming stock warehouse CEN

The following transactions exist in the FIFO file:

Transaction date Price Qty received Qty delivered Remaining qty Stock value
15/10 100.02 1.00   1.00 100.02
31/10 100.03 1.00   1.00 100.03
5/11 100.10 2.00   2.00 100.10

Created transactions

Transaction type Description Amount
Debit		 Amount
Credit		 Calculation/Result/Additional info
901 Stock value   200.05
Cost price in FIFO file * Quantity

(oldest FIFO transaction): 100.02 * 1 = 100.02
(second oldest FIFO transaction): 100.03 * 1 = 100.03
Total: 200.05

Warehouse CEN. This transaction decreases the normal stock value, using the values from the existing FIFO transactions.
942 Stock value non-conforming stock 200.06  
Cost price * Quantity

100.03 * 2 = 200.06

Warehouse CEN. This transaction increases the non-conforming stock value. To do this, the system first has to calculate the cost price for the items moved as follows:

Cost price: “Normal” total stock value / Quantity moved
Cost price: 200.05 / 2 = 100.025, rounded to 100.03
Then the system calculates the total stock value as described in the calculation above.
947 Rounding difference non-conforming stock   0.01
200.06 – 200.05 = 0.01

Warehouse CEN. This is the rounding difference between the “normal” stock value and the non-conforming stock value. This transaction occurs since the system first calculates the cost price per unit.

Related topics