In 'drop shipping' scenario where supplier's shipment does not go through an internal location, there is no journal entry generated associated with the stock move even when the product's Inventory Valudation is set as 'Real Time'.
Other ERP systems may handle the accounting of the drop-ship case either by generating two sets of journal entries for moves (receipt and shipment) via a special/dummy warehouse, or has a mechanism to post Cost of Goods Sold for moves from supplier to customer, but Odoo seems to be missing this consideration.
Given this, what would be the best way to post COGS perhaps based on the supplier invoice? Is manually changing the expense account in supplier invoice (assumption: prduct does not determine drop-ship/via warehouse) the only way? Or is there a module to handle this automatically based on the PO destination field?
In a case where your supplier ships directly to your customer and you do not ever physically recieve the goods into your inventory at any time, then there should not be any inventory/stock journal entries, and cogs is generated from your sales order / invoice.
COGS account is set as the 'expense account' on the product (or product category) and the value is the product cost value (as set on /product/procurements). The same for services charged to a customer on an invoice, but obviously no stock movement, but still requiring a COGS accounting entry at the time of sale.
Alternatively, you may set up a 'transit' virtual stock location.
I hope this is useful?
Thanks for your comment, Jonathon (I wanted to make a 'comment' instead of posting an 'answer' but it seems it's not possible perhaps due to karma shortage). I have confirmed that the system behaves as you explain when account_anglo_saxon is installed. I guess there is no ready made solution in case the module is not installed. I also wonder how you reconcile the variances between the amounts in Stock Output Account in case the costing method is 'Average Price' and the Cost Price has been changed in between shipment and invoice. I guess you make an adjustment journal entry to turn whatever balance you have left in the Stock Output Account into COGS, but that is another question. Thanks again. Your input did help.
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|Asked: 6/17/14, 11:27 AM|
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|Last updated: 6/20/16, 1:42 PM|