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Journal Entries of manufactured product are incorrect

on 9/18/13, 11:17 AM 1,671 views

I had created two products, A and B. The cost of A is calculated by average cost. Product A could be sold directly and also used in manufacturing of Product B , for which i have created BOM. Now, whenever I manufacture product B, Its manufacturing cost is coming as zero though in stock I can see A has been reduced.

Also, due to real-time inventory valuation, for product A, COGS is debited which should not be there because I haven't sold A.

Kindly help.

Other setting:

Using Real Time inventory method

What is the cost price of product B on the product form view?

Bista Solutions US, Ray Carnes
on 9/19/13, 8:59 PM

Ray Carnes

--Ray Carnes--
| 9 7 9
Greater Los Angeles, United States
--Ray Carnes--

Senior Odoo Analyst

OpenERP 6.1, 7.0 and Odoo 8.0, 9.0 (Since 2012)

Completed Functional and Technical Training.

Major Skills:

  • Needs Discovery and Requirements Analysis;

  • Function and Technical Specifications;

  • Project Planning;

  • Prototyping and Proof of concepts;

  • Data migration;

  • Configuration & Customization (UI and modules);

  • Integration - data, business logic and service levels;

  • Training and Knowledge transfer;

  • Go Live support;

  • Help desk;

  • Version Migration.

I have over 20 years of experience empowering and enabling users with enterprise information systems that make a real and measurable difference in their ability to proactively manage their businesses and organizations. 

Ray Carnes
On 9/19/13, 9:01 PM

COGS will be debited when the item is delivered, unless you have installed the Anglo Saxon module in which case it will be debited when the Sales Invoice is validated.

I suggest you watch (or review the slides) "US ACCOUNTING – OPENERP V7.0" to understand how to setup OpenERP properly to track manufacturing costs. The same principles work in any country, although Anglo Saxon isn't relevant for all countries.


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Asked: 9/18/13, 11:17 AM
Seen: 1671 times
Last updated: 8/22/16, 1:50 AM