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E1: 42: 9.2 Enhancement - Retaining Ownership of Inventory While In Transit (Doc ID 2246772.1)

Last updated on NOVEMBER 23, 2021

Applies to:

JD Edwards EnterpriseOne Sales Order Processing - Version 9.2 and later
Information in this document applies to any platform.


Many suppliers have a business process where they cannot invoice customers until the customer confirms delivery of the product, which completes the supplier’s performance obligation. The elapsed time between shipping and delivery can be as great as 60 days. With this business process, suppliers cannot recognize revenue until the invoice has been posted, which must occur after the performance obligation. Also during the in-transit period the shipping company continues to have legal ownership of the product until it has been accepted by the receiving customer. During this period, the value of in-transit inventory must remain on the balance sheet of the shipping company until the material is received and accepted by the customer. Invoicing and Sales Update processing must be delayed until the material is received and accepted at which time the legal ownership is transferred from the Supplier to the Customer.

A new enhancement has been implemented in the 9.2 release under Bug 25114679 : SALES ORDER LINE IN-TRANSIT ACCOUNTING

The purpose of this document is to announce this enhancement and provide an example of how it is used.




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In this Document
 Case Study
 New Ship Confirm Processing Options
 New Document Setup for In Transit Shipments
 Distribution AAI Setup for Shipment Confirmation
 Shipment Confirmation (P4205) and Debit To Inventory In Transit
 Invoice Print (R42565) Setup
 Distribution AAI Setup for Sales Update (R42800)
 Sales Update (R42800) and Credit To Inventory In Transit
 Summary of Transactions and Journal Entries in Company 00200
 Additional Notes Concerning Inventory Data
 Summary and Conclusions
 Objects Updated

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