Inventory/ Managing Unbilled Inventory

4.0. Managing Unbilled Inventory


    

Issuing Receive Order & Supplier’s Invoice With Different Costing

For the same Stock Items and quantities, Unbilled Inventory is a result of the difference in total value purchased, that you have earlier entered; in Receive Order compared to value of the actual Supplier Invoice.

Receiving Stock Items at $1000 each


Alert
STEPS:
  1. Click PURCHASE activity
  2. Click RECEIVE ORDER module
  3. Click NEW
  4. VENDOR select (or create)
    In-Time Supplier Pte Ltd
Details:
  1. ITEM select Dell Desktop
  2. QTY enter 3
  3. UNIT PRICE enter 1000
  4. Lookout for bottom-right, AMOUNT check for 3,210
  5. Click ADD
  6. Close module


Enter the actual Supplier Invoice with Stock Items at $1050 each


Alert
STEPS:
  1. Click PURCHASE activity
  2. Click SUPPLIER INVOICE module
  3. Click NEW
  4. VENDOR select (or create)
    In-Time Supplier Pte Ltd
  5. Click IMPORT
  6. Select RO.12/00000001
  7. Click ADD ALL ROWS
  8. Click BACK



Alert
STEPS:
Details:
Lookout for the middle of the module for
UNIT PRICE change to 1050
Click ADD



Checking For Unbilled Inventory Amount



Alert
STEPS:
  1. Click REPORT activity
  2. Click FINANCIAL
  3. Click TRIAL BALANCE module
  4. Click REFRESH
  5. Unbilled Inventory Account check for $150
During receipt of goods, the items are cost at
$1000 x 3 = $3000.
However, the actual the Supplier Invoiced at $1050
$1050 x 3 = $3150
The is a difference of
$3150 - $3000 = $150.
The system automatically posts it to Unbilled Inventory
Account.


How do you Adjust Unbilled Inventory value


Alert
STEPS:
  1. Click ADJUSTMENT activity
  2. Click CLOSINGS
  3. Click UNBILLED INVENTORY module
  4. POSTING A/C select Stock Adjustment
Select an account you would
like the unbilled inventory
amount to be adjusted to.
  1. Click STEP 1 GENERATE
  2. Click STEP 2 POST
  3. CONFIRM POST UNBILL click YES
  4. POST DONE click OK
  5. Close module


How can you avoid having values posted to Unbilled Inventory

NOTE: Since the Unbilled Inventory value happens when there is a difference between Receive Order and Supplier Invoice, you can amend the value of Receive Order to be the same as Supplier Invoice. Hence, Unbilled Inventory will have zero value.


Alert
STEPS:
  1. Click REPORT activity
  2. Click FINANCIAL
  3. Click TRIAL BALANCE module
  4. Click REFRESH
  5. STOCK ADJUSTMENT check for $150
  6. UNBILLED INVENTORY ACCOUNT
    check for $0
  7. Close module






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