MKMS Help

Inventory Options

This Help File Page was last Modified on 09/26/2013

Inventory Options

This Help File Page was last Modified on 09/26/2013

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Inventory Options

This Help File Page was last Modified on 09/26/2013

Previous topic Next topic  
The Inventory Options tab on the User Options Form provides the ability to (re-)set the default behavior of the Inventory Tracking and Job Costing System.
Information previously entered using the setup wizard of the Inventory Tracking and Job Costing System may also be reset within this Inventory Options tab.
To do so, from the Main Menu Select Maintenance and Choose User Options, then Click the Inventory Options tab.

HelpFilesUserOptionsInventoryOptions

User Options Form - Inventory Options tab

 

Inventory Valuation Methods - a review:
Price In - By default, the Value of each Inventory Item is the original Price In Value assigned to that Inventory Item in the Sale-Purchase Category Form.
LIFO - Used to initiate the Last In - First Out Inventory Valuation Method.
When an Inventory Item is Purchased, this feature immediately updates the Price In (LIFO) Value in the Sale-Purchase Items Form and in the General Ledger System transactions that follow.
Average Cost Inventory - Another approach to Inventory Valuation is to use the Average Inventory Cost for the Value that is used in the associated General Ledger System transactions.
This Inventory Valuation Method will establish and maintain the Value of the Inventory by Averaging the Cost of that Inventory so that all Price (cost) changes of an Inventory Item are taken into consideration whenever the Value of that Inventory Item is reported.
When AverageCostInventory is set to True ("T") in the Company Settings dialog available on the Company tab of the Users Options Form, it will convert the Inventory Valuation to the Average Cost paid for an Inventory Item,
Note: When AverageCostInventory is set to True ("T"), if LIFO (Last In/First Out) was the previously selected Inventory Valuation Method, it will be turned off automatically.
See the Inventory Valuation Options chapter for detailed information for all of the available Inventory Valuation Methods.

 

Inventory Option entries:
Inventory Tracking - Rules to be followed by the Inventory Tracking System:
Normally (as noted above), Inventory Items are Valued based on the Price In that was entered for each Inventory Item in the Sale-Purchase Items Form when they were defined.
LIFO (Last In - First Out) - From time to time, Inventory Items may be Purchased for more, or less, than the cost previously entered on the Sale-Purchase Item Form as the Price In.
But these Purchases do not change the Price In amount which the Inventory Tracking System uses to Value that Inventory Item.
The Inventory Item continues to be valued based on the Price In amount that was originally entered (or subsequently modified) in the Sales-Purchase Items Form.
However, from an accounting standpoint, you may want to alter this default behavior by having that Price In Value reset, based on the most recent Cost recorded on an Invoice for the Purchase of this Inventory Item.
This automatic reset process that is based on the most recent price paid, is called Last In-First Out, or LIFO for short.
Check the LIFO box to initiate this Inventory Valuation Method.
Default Parts Code - Use the Drop-Down Selection List to Choose the default Parts code (which for simplicity should be PARTS).
Note: Create a generic Sale-Purchase Item named Parts assigning it the code Parts in the Sale Purchase Items Form.
Default Warehouse - The default is the predefined Default Warehouse.
Use the Drop-Down Selection List to Choose a different Warehouse Name, if desired.
Default Job Cost Invoice Code - To be determined.
Click OK to save this Inventory Options information.

 

Job Costing - No longer Used - Rules for the Legacy Job Costing portion of this system.
Note: If Legacy Job Costing records exist within the MKMSdefault database, the following fields will be displayed, but may not be modified, otherwise, these fields will not be displayed at all.
Last Job No. - No longer Used - This was a Legacy Job Costing function where the next Job Number to be assigned could be specified by entering  the Last Job Number that was used (or what you wanted to represent as that last number thereby identifying what the next number should be).
Note: In Version 2.0.X Job Costing, the system automatically assigns a Record Number for each new Job Costing project, and that number cannot be changed.
Labor Rates: - No longer Used - This was a Legacy Job Costing function where the Labor Rates defined below would represent the Hourly Rate that is Invoiced to a Subscriber - with those Labor Rates being calculated based on the set of Technician Skills that would be required to complete a specific type of Job Task assignment.
oStandard Labor Rate - Enter the minimum labor rate that will be charged.
oPro. Labor Rate #1 - Enter the minimum Professional level labor rate that will be charged.
oPro. Labor Rate #2 - Enter the second level Professional level labor rate that will be charged.
oPro. Labor Rate #3 - Enter the highest level Professional labor rate that will be charged.

 

What's Next?
Go to Job Types chapter.