Query on negative depletions/Process negative quantity in costing
Summary:
Query on negative depletions/Process negative quantity in costing
Content (please ensure you mask any confidential information):
Hi all - i have a query regarding the below. We have implemented Procurement, Inventory, and Costing. So, there are 2 setups related to negative quantities.
- In Manage Inventory Organization - Allow negative balances (for our client, this is set as No)
- In Costing, cost profiles - Process Negative Quantity (and this is set as Always)
For costing module, Inventory is the source module for all the transactions (in the current context of Proc, Inv, and Costing modules implemented).
So, when the allow negative balances is set as No in my inventory org parameters, i can also issue/transaction the item in quantities that are only available on my on-hand. But we are still seeing some transactions in costing which are processed with negative quantity (at latest item cost available), and then once the on-hand qty is available (i.e., receipt layer is available), the original transaction which is processed with negative qty, is now applied with latest receipt layer, thus causing change in average cost.