Consignment Purchase

[Former Member]

Hello All,

Please check the foloowing scenario and suggest how it can be mapped in SBO:

I am a dealer for electronic goods and the manufacturer sends the items to be kept in my showroom for sale/display. As and when the items are sold from my premises, I am billed for them. This is very similar to consignment sales however from the Customer's perspective, hence consignment Purchase.

The query that I have is, when I receive the items, my inventory quantity should be updated but its value should not be reflected in my books. So if I post a GRPO in my system, the relevant item quantities should be updated but no posting should be done to GRNI and Raw Material/Invenotory accounts. Can this be done? I have tried it using drop ship warehouse but the inventory isnt reflected anywhere as it is drop ship warehouse. Same is the case if I define the item as a non-inventory item.

Please suggest.

Thanks & Regards,

Gyanesh Rupani

[former_member186095]

Hello,

I suggest you to create a certain warehouse named "purchase consignment whse (PC-WHS) and item groups that covers the query you currently have. You could define G/L account per item group specifically for the consignment purchase item. It seems that the value is not posted to inventory account in the balance sheet, so it will be in the P&L --> drawer 8.

If you post the GRPO, the journal could be :

Dr CP inventory item

Cr. Good receipt not invoice

Rgds,

[former_member383057]

Good afternoon !

This is exactly what we need as well.

We have stock of our factory's at our warehouse and want to register this on the products but without having it come back in our books untill we sell it and purchase it / receive invoice from the factory.

As we do also have these products in our normal stock sometimes the G/L nr's can't be registered on product group or on the product it self ...

Is there another way of registering this ?

Looking forward to your reply!