ALL inventory charges should be posted through Inventory Post. Inventory charges should not be posted through GLPost, SOE MTL. This source of entry is for dollar adjustments to the Distribution Accounts. It does not update the inventory quantities or values.
There are two ways to receive inventory. If you receive inventory through Inventory Post the following things happen:
- The 109 or 110 accounts get updated with a Debit entry
- The inventory quantities and values get updated and
- A Credit entry is automatically posted to a 111 Clearing Account
In this scenario, when you pay the Invoice you would charge it to the 111 account (a debit which would clear the credit). The second way is to receive inventory through APPost at the time you post the Invoice. In this case you would charge the 109 or 110 account, and, the proper Inventory Code with the quantity and value. Charging and Receiving inventory in this manner will keep your Inventory quantities and values up to date.