openerp-expert-accounting team mailing list archive

["Jon Wilson \(Willow IT\)" <openerp@xxxxxxxxxxxxxxx>]

I agree with Graeme and this is a serious issue that can potentially
cause big discrepancies between stock-on-hand gl accounts and stock
valuations which is a source immense pain for accounts and no-end of
needless reconciliations. I'm not sure how it affects European
accounting but is is certainly an issue with anglo-saxon accounting.

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https://bugs.launchpad.net/bugs/923577

Title:
  [trunk] [stock] return to suppliers does not update average cost see
  also610738

Status in OpenERP Addons (modules):
  New

Bug description:
  If you return products, the return picks up the cost of the original
  receipt.  That is all fine and correct.

  However it does not update average cost when processing leading to
  stock valuation errors. see the this bug for more discussion - 610738

  You receive 5 items at $6 and 5 items at $4

  So in stock 10 items at average $5 your stock valuation is $50.

  You return 5 items at $6.
  Correct Result
  Stock Valuation Account - $30
  Stock Output Account + $30
  5 items at average $4 $20.
  OpenERP Result
  Stock Valuation Account - $30
  Stock Output Account + $30
  5 items at average $5 $25.

  So our total stock value has decreased $30 but our products stock
  value only $25.  Note the only error is the failure to recompute the
  products average cost.  This error is then populated downstream when
  products are sold.

  This is wrong.  Average cost must be updated on every transaction
  where the cost price of the goods coming in or out is different to the
  average cost.  In practice, shipments to customers should always be at
  average cost, so we need not worry here, although it would be good
  practice to recompute here also (or raise an error), but shipments to
  suppliers could be at any cost and not necessarily the products
  average cost, therefore it needs recalculating.

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