Purchase Offset Account

[Former Member]

Hi,

our customer wants to use the Purchase Accounts Posting System, that is ok.

But could somebody please tell me what means that Purchase Offset Account in Accounting (Warehouse) ?

I think the Purchase Account is some Expenditure Account, maybe 4000 - Purchase (in Finland), but I don´t know what is that Purchase Offset Account.

I hope somebody know and tell to me!!!

Thanks a lot!!

Best Regards,

Minna

[Former Member]

Hi,

Our customer use the Purchase Accounts now.

Purchase Offset Account is offset account for Purchase Account.

When you buy some stuff, the following account will be recorded.

Inventory / AP

But if you use Purchase Account, the following account will be recorded.

Inventory / AP

Purchase / Purchase-Offset

Purchase Account is just for managing the purchase cost.

And it need to be independent of usual account "Inventory / AP".

So Purchase-Offset account always need to be the same amount of Purchase account.

Thanks,

Satoshi

[Former Member]

Hi Satoshi!

Thanks to you!!

One of our customer has defined that there is same account of Purchase Offset and Cost of Goods Sold Account. I think this is maybe wrong?

Have you some suggestion what it is good account number for Purchase-Offset?

The Purchase Account is ok, it will be Expenditure Account type...

Best Regards,

Minna