Adjustment Entry (ICE210)

How To

Use this program to make all necessary manual adjustments to inventory on hand quantities and, without using the purchase orders or sales orders systems, can be used to post receipts and record sales.

An adjustment code indicating the general type of adjustment (e.g., RC-for receipts, DM-for damaged in shipment, etc.) is entered for each transaction. These adjustment codes are user-defined through the Adjustment Code F/M program. A memo may be entered for further clarification of the transaction. Adjustment types (A-adjustment, R-receipt or S-sale) are also set up to indicate where to post adjustments in general ledger. (See Adjustment Code F/M program.)

Updating the on-hand quantity based upon the adjustment amount occurs immediately as the transaction is recorded. If the adjustment type is an R-receipt, the unit cost is also entered and the current cost updated according to the costing flag is the IC static control record. If the adjustment type is an S-sale, the sales dollars (dollar amount of sales) are also entered. If the adjustment type is an A-adjustment, the cost is also entered. The Adjustment Register should be run periodically to give a hard copy of all adjustment and repackaging transactions and update general ledger.

You now have the ability to cost serial and lot items by the system cost (costing method for the module). The feature provides for GAAP compliance. For the FACTS SO, IC and MC modules, you can decide if the cost for serial and lot items will be averaged actual (as it has always operated in the past) or system cost (costing method for the module). The default setting for each Static Control F/M is A-Averaged Actual (same behavior as they have before the monthly is applied). Users who want to take advantage of this change will need to change the option to S-System Cost for each of the applicable modules. The net result of selecting S-System Cost is that serial/lot items will be costed like non-serial/lot items. The results of this program are affected by this selection.

Lead Time: If the adjustment type is "R" for receipt and the restocking warehouse is direct from the vendor, the lead-time is set to abnormal only if the item is stocked and the replenishment flag (located on the Main view of Warehouse/Item F/M) is Y. Otherwise, the lead-time flag is blank.

EWMS Processing Note

The Adjustment Entry (ICE210) program does not allow exiting an item that is in a Radio Beacon controlled warehouse if the adjusted quantity does not sum to zero. All quantity adjustments should be done in Radio Beacon. The only reason this program should be used is to adjust costs. So you can adjust one out at one cost and back in another. The net effect on inventory quantity is zero.

Access this program by choosing Inventory Control-->Adjustments-->Adjustment Entry.

A scrolling feature displays the most recent transactions recorded at the bottom portion of the screen. This provides additional safeguards against user error due to oversight or transaction duplication.

The following fields are involved in entering an adjustment:

1. Warehouse

Enter the warehouse code for the item(s) to be adjusted. The entry must be a valid warehouse code. The system displays the warehouse name and description. Press Enter (CR) to default to the warehouse assigned to the terminal.

2. Item

Enter the item number to be adjusted. The entry must be a valid item number. The system displays the description and current on hand quantity for this item and stocking unit of measure. Press Enter (CR) to default to the item previously adjusted.

If an item does not update inventory (as set by the IC Control flag), the system displays the following message: "This is an uninventoried item. Cannot Adjust. CR-Continue".

If the item is inventoried, but does not exist in the specified warehouse, the system displays the message: "Item not in this warehouse. CR-Continue".

Serial/Lots Items

If the item number is a serial/lot item, the system displays fields #3-6.

3. Serial/Lot #

Enter the serial or lot number of the item(s) adjusted.

4. Number not found. Do you wish to receive?

If the serial/lot number entered does not exist in the warehouse, indicate whether to receive in a new serial/lot number. Press Enter (CR) to default to N and returns to field #3. If the item exists, the program proceeds to field #7.

5. Vendor

Enter the vendor to receive goods from. The entry must be a valid vendor. The system displays the vendor name. Press Enter (CR) to default to the primary vendor assigned to the item.

6. PO Number

Enter the purchase order number being received (1-999999).

7. Adjustment

Enter the adjustment quantity (+/-) of the item. This displays the new on-hand quantity (current on hand plus the adjustment amount). Zero quantities are not accepted. If you set up multiple units of measure on the Item F/M screen for the item entered, you can press F2 to change the unit of measure.

8. Adjustment Code

Enter the adjustment code. The entry must be a valid adjustment code. An S-sales type is only accepted if the adjustment was a negative adjustment. A R-receipt type is only accepted if the adjustment was a positive adjustment. An A-adjustment is accepted for negative and positive adjustments.

9. Cost

If the adjustment type entered was not R-receipt or A positive adjustment, this field is skipped. Enter the unit cost for this item receipt. Zero costs are not accepted. Press Enter (CR) to default to the current cost of the item.

10. Sales Dollars

If the adjustment type entered in field #4, was not S-sales, this field is skipped. Enter the dollar amount of the sale. The amount entered will be updated to the warehouse/item file for month-to-date and year-to-date history.

11. Post To Usage

If the adjustment code type is "S" for sale, you can select the checkbox to post the number of units to the actual usage in the warehouse/ item file. If the adjustment type entered in field #4, was not S-sales, this field is skipped.

Based on this setting, usage is given to the warehouse that is being adjusted. The system checks the value of the Replenish setting on the Main screen of Warehouse/Item F/M (ICF920) to determine whether to display the Post to Usage prompt. If the item’s replenishment flag is not Y, the system skips this prompt and does not update usage. If the replenishment flag is Y, the system updates usage based on your response here.

12. Adjustment Memo

Enter the optional memo regarding the adjustment (up to 25 characters). This memo overrides the adjustments code description that prints on the Adjustment Register. Press Enter (CR) to default to no memo and the adjustment code description prints on the register. Press to F2 default to the memo previously used.

The system displays the message: Job Number message box and asks: "Enter job number?" Yes/ No

If you select Yes, the system displays the Job Posting Entry dialog box, which contains fields 13-20. If you select No, the system accepts the line and displays it in the browser in the lower portion of the screen.

13. J-Job #, F4-Backup

You can: Press F4 to back up to the adjustment memo. Press Enter (CR) to accept the line, clear the user fields for this adjustment, scroll the transactions down to the bottom of the screen, and print the last transaction at the top of the list. The program then proceeds to the item field to await further adjustments in this warehouse. You can enter J to enter job-costing information.

Job Costing Information

If the Use Job Cost flag is set to N or the type for the adjustment code entered is not an A-adjustment then this field does not appear and the program proceeds to field #21. Enter J to enter job costing information.

14. Job Number

Enter the valid job number to post this entry against. Entering a valid job number displays the job name, customer number and name, and billing type. Press Enter (CR) to default to the last job number entered (if any). Press F2 to search.

15. Price Message

If the billing type for the job entered is fixed, contract or time and material, this field is skipped. If the billing type is cost + (plus) or no charge, the program displays the price (bill rate) that will be used to calculate the extension. If the job is no charge, then the markup method can be changed if the Allow Billing Override flag for the cost code is set to selected and neither the bill rate nor extension will be affected. Press Enter CR to continue.

16. Cost Code

Enter a valid cost code (up to 4 characters). Entering a valid cost code displays the cost code description and the cost type. If the cost code is not set up to use units (unit of measure field is blank in Cost Code F/M), the program displays a message displaying this information. The cost code sets the defaults for markup method (for all jobs that are not billed as cost plus) and the billing rate for jobs that are billed as a fixed contract or as time and material. If the billing type is not cost plus, the cost code also determines whether the user is able to override the markup method and or bill rate. Press F2 to search.

The item entry determines the units, unit of measure and cost rate/extension.

17. Markup

This field is initially skipped and set to the markup assigned to the cost code. This may only be entered for jobs which are time and materials or fixed contracts and the Allow Override Of Billing flag is set to Y in the cost code record. This may also be changed for no charge jobs but the bill rate is not affected.

Enter the markup method to use for this posting entry. The user has the following options:

# - Enter the markup amount (0-9999999.99%). Entering a number tells the system to mark up the cost by a dollar amount. The system marks up the cost rate by the dollar amount and calculates the bill extension.

#+% - Enter the percentage (0-9999999.99%) to mark up the cost. To enter a percentage, the user must enter an amount and then the percentage sign. If no percentage sign is present, the system assumes the entered amount is a dollar amount. The system marks up the cost rate by the percentage amount and calculates the bill extension.

M - Enter the bill rate manually. Entering M displays the word MANUAL and the program proceeds to the bill rate field (#18).

The fixed markup method is unavailable for selection, but can be used. To utilize the fixed method, select a cost code whose markup method is fixed.

Press Enter (CR) to initially default to the markup method (amount/percentage) from the cost code record.

18. Bill Rate

This field is unavailable if the Allow Billing Override flag is set to unselected in the cost code record. This field is initially skipped unless the markup method of the cost code is manual. Enter the price per displayed unit of measure. The bill extension is calculated and displayed. Press Enter (CR) to initially default to 0.

19. Memo

Enter the memo to post for this job cost transaction and to print on the job cost invoice (if applicable - see next field). Press Enter (CR) to initially default to blanks.

20. Print Memo on Job Cost Invoice?

This field is initially skipped and set to unselected. Indicate whether to print the memo (entered in the previous field) on the job cost invoice. The field may only be set to Y if the Billing Detail for the cost type (that the cost code is assigned to) is set to A for all transactions in the Job Entry program. Press Enter (CR) to initially default to unselected.

When you have added all the adjustment line, save your entries.

You can stop entering adjustment lines. You can Add additional items for adjustment.

On the left side of the line item browser, you access Note Entry (SME710) for the item highlighted in line item browser.

Press Exit button to return to the main IC menu.

See Also

How to manually adjust on-hand quantities