Drop Ship Purchase Orders
I've discovered a problem with the accounting for my drop shipments. When we do a drop shipment, a PO and SO are created. The problem is that normally when you bill (receive a bill from the vendor) the PO, it debits Accrued Inventory. However, a drop ship PO debits COGS. Therefore, Accrued Revenue never zeroes out on the order. On the other side, when the SO is fulfilled, it also debits COGS, so that account is being hit twice for the same transaction, and accrued inventory never clears.
Anyone else know of this- or if this is a simple error in programming?