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Inventory based on weighted average cost
hw are the number of line items determined in the INDIST file
Inventory based on weighted average cost
hw are the number of line items determined in the INDIST file?
The quantity on hand in INLOC is updated on a FIFO basis. When quantities are updated, the last cost amount, average cost and the distributed cost are updated according to the amounts as entered in the AP, AR, OE, PO or IN modules.
When the on hand quantity is updated, the amounts are aggregated by layers.e.g.
Purchases Quantity Cost Last Average Dist
01/01/95 100 50 50 50 5000
01/02/95 60 70 70 57.5 9200
01/03/95 20 40 40 55.55 10000
01/04/95 20 100 100 60 12000
Total 200
When a reduction(i.e. sale, negative adjustment, etc.,) is made to the on hand quantity, the number of lines* which will appear in INDIST depends upon the quantity adjusted. e.g.
*1 line= positive and negative amount with the same Event ID
Event ID Reduction INDIST Account Amount
001 -80 001 2000-0000 4800.00*1
001 1300-0000 -4800.00
002 -35 002 2000-0000 1200.00*2
002 1300-0000 -1200.00
002 2000-0000 900.00*3
002 1300-0000 -900.00
003 -70 003 2000-0000 2700.00*4
003 1300-0000 -2700.00
003 2000-0000 1200.00*5
003 1300-0000 - 1200.00
003 2000-0000 300.00*6
003 1300-0000 -300.00
004 -15 004 2000-0000 900.00*7
004 1300-0000 -900.00
1300-0000: Inventory Control Account
2000-0000: Income Account
*1= FIFO qt from purchase 01/01/95
80 @ $60
*2= FIFO qt from purchase 01/01/95
20 @ $60
*3= FIFO qt from purchase 01/02/95
15 @ $60
*4= FIFO qt from purchase 01/02/95
45 @ $60
*5= FIFO qt from purchase 01/03/95
20 @ $60
*6= FIFO qt from purchase 01/04/95
5 @ $60
*7= FIFO qt from purchase 01/04/95
15 @ $60
It can be seen from the figures above that the amount of line depends upon the FIFO layers which are accessed.
