openerp-india team mailing list archive

[Stephan Keller <skeller@xxxxxxxxxxx>]

Done with v7.0.

I am sorry if this was already submitted somewhere else, we are new to
OpenERP.

Here is a way I think to see that the calculation of the average
cost/way to handle the supplier return has a problem:

Start with a fresh database.  Set it up such that the accounting
consequences for the delivery are calculated.  Setup one item with
income account, expense account, stock input account, stock output
account = COGS, and stock valuation account.

Purchase 10 items at $10, validate all (purchase order, incoming
shipment, invoice)

Purchase 10 items at $20, validate al.

Average price at this point: $15

Stock valuation: $300 ($100+$200)

So far perfect.

Go back to the first incoming shipment and use “Return Product”,
validate the return.  (note that the return does not use the average
cost to calculate the accounting consequence, but the cost in the
original purchase = $100).

Stock Valuation: $200 ($300-$100)
Average cost:  still $15.

Enter a sale for the product: 10 items, validate sales order and
delivery.  Accounting consequences are calculated with the average cost
of $15.

Stock Valuation: $50. ($200-$150)
Average cost: $15.

But there is no stock left, everything was either sold or returned to
supplier.  Yet the stock valuation account shows $50.  I don’t think
anybody can argue that it is ok to have no stock and stock valuation non
zero.

To me there are two choices:

1.	Recalculate the average cost on return to supplier(as many are advocating here)
Then after the return: stock valuation: $200, average cost = $20, and the sale would move $200 out of stock valuation -> 0.

2.	When calculating the accounting consequences of the return, use the average cost = $150.
Then after the return: stock valuation: $150., average cost = $15, and the sale would move $150 out of stock valuation ->0.

Most will want 1 but 2 would solve the problem of following the rules of
average cost.

Stephan
Sodexis.

-- 
You received this bug notification because you are a member of OpenERP
Indian Team, which is subscribed to OpenERP Addons.
https://bugs.launchpad.net/bugs/610738

Title:
  [Trunk/7.0/6.0/5.0] return products to supplier does not update price
  average

Status in OpenERP Addons (modules):
  Confirmed

Bug description:
  
  When returning products to a supplier, the average standard price should be updated using the price of the packing list which is returned.

  For example :
  1- We have 10 products with average price = 100
  2- We receive 5 products with price = 80 --> average price is calculated as (10*100+5*80)/(10+5) = 93,33
  3- We return 3 products from the last packing list (the one where products cost 80)
  The new average price should be 
  (93,33*15 - 3*80)/(15-3)=96,67

  If the return is made directly from the stock and does not concern any
  incoming packing list, we do not update the average price.

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