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Deffered cost of goods sold account.
Posted: Wed Oct 12, 2011 4:41 pm
by srinivas.oebs
Hi,
Would you please any one let me know what is the use of Deffrered cost of googds sold account and where it can be used.
Regards,
Srini
Posted: Mon Oct 17, 2011 3:50 am
by hiszaki
Hi Srini
Deferred COGS is a new account used in R12. In 11i, when the sales order shipped, the account generated:
Dr. COGS
CR. Inventory - finished goods material
But in R12, the DCOGS is intermediate account used to calculate the actual COGS for each transaction.
SO when you shipped the sales order (quantify = 100), the account will be:
Dr. DCOGS
CR. Inventory - finished goods material
Then when the AR invoice created, the account generated:
Dr. Customer
Cr. Revenue
There are 3 requests running after the AR invoice are created transfer the value from DCOGS to COGS to insure that all value in COGS has AR invoice.
Hope I can help you.
Thanks
Hisham