How GL accounts in Cost Groups referenced during inventory transactions
Last updated on APRIL 24, 2017
Applies to:Oracle Cost Management - Version 11.5.9 to 184.108.40.206 [Release 11.5]
Information in this document applies to any platform.
How are Cost Groups referenced during inventory transactions?
When the GL accounts setup on a Cost Group are referenced for an
inventory transaction versus when the GL accounts setup for the inventory organization are referenced for an inventory transaction.
For example, in the Cost Management Users Guide (Average Costing, page 5-44), the document indicates that for a 'Purchase Order Receipt to Inventory"...
"The accounting entries for the delivery portion of the transaction are as follows:
DEBIT - Organization Material account @ PO cost
CREDIT - Receiving Inspection account @ PO cost"
This implies that the Material Account setup at the inventory organization (Organization Material account) is what is referenced for the PO receipt, however there are Metalink notes (example:
Note:436698.1) that indicate that the GL account referenced on the Cost Group of the product is what would be used for an inventory transaction.
What inventory transactions reference the GL accounts (specifically - Material) at
the Inventory Organization level versus the Cost Group level.
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