The unit cost in a SKU card is incorrect if some item ledger entries exist before you create the SKU card in Microsoft Dynamics NAV 5.0 or NAV 2009


Source: Microsoft Support

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Symptoms


You create a Stockkeeping Unit (SKU) card in Microsoft Dynamics 2009, NAV 5.0 with Service Pack 1 (SP1), or Microsoft Dynamics NAV 5.0. However, if some item ledger entries exist before you create the SKU card, the unit cost in a SKU card is incorrect. The unit cost does not reflect the correct per-unit cost even if you set the Average Cost Calc. Type setting to Item & Location & Variant in the Inventory Setup dialog box.

Cause


This problem occurs because the SKU card automatically uses the unit cost that is specified in the item card when you create the SKU card. However, the unit cost in the item card is an average of all inventory transactions.



Whether you run the "Adjust Cost-Item Entries" batch job or not, Microsoft Dynamics NAV does not update the unit cost in the SKU card to show the correct per-unit cost according to the Item & Location & Variant type. However, the Average Cost Calc. Overview dialog box displays the breakdown of item ledger transactions that are based on a per SKU Item & Location & Variant cost and a per-unit cost that is based on the filtered Item & Location & Variant combination of entries.

Resolution


When additional transactions are posted to the Item and the "Adjust Cost - Item Entries" batch job is finished after the SKU is created or when the Automatic Cost Adjustment function invokes the cost adjustment routine after the SKU is created, the unit cost of the SKU card will correctly reflect the unit cost that is based on the Average Cost Calc. Type setting of Item & Location & Variant that is set in the Inventory Setup dialog box. Therefore, if you do not want to post an additional Positive Adjustment inbound transaction or an additional Purchase inbound transactions, use one of the following methods to work around this problem.

Method 1

Note You cannot use this method if you use the Standard costing method.


To use this method, follow these steps:
  1. On the Tools menu, click Object Designer, click Table, click table 5804, and then click Run.
  2. Click to clear the Cost is Adjusted check box of the item that causes the problem. When you do this, the Cost is Adjusted check box is also cleared.

  3. Run the "Periodic Activities - Adjust Cost-Item Entries" routine in the Inventory Costing in Financial Management.

Method 2

Notes
  • Use this method if you cannot use method 1.
  • The Cost is Adjusted field in table 5804 is automatically cleared when you change the Average Cost Calc. Type setting only if you use the Average costing method. Therefore, this method only applies to the average costed items.
To use this method, follow these steps:

  1. In the Inventory Setup dialog box, change the value in the Average Cost Calc. Type field from Item & Location & Variant to Item.
  2. Change the value in the Average Cost Calc. Type field from Item back to Item & Location & Variant.
  3. Run the "Adjust Cost-Item Entries" batch job.

References


For more information about the setup and the purpose of the "Average Cost Calc. Type" list, click the following article number to view the article in the Microsoft Knowledge Base:

891658 Information about the setup and the purpose of the "Average Cost Calc. Type" list in Navision

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