Costing Issue in Microsoft Dynamics NAV

Hotfix Available from Microsoft I was surprised to find this major error in one of our client’s Microsoft Dynamics NAV instance. It came about when they converted an Item from produced to purchased. They changed the replenishment system field from Prod. Order to Purchased. They had left the BOM and routing attached in the BOM… Continue reading Costing Issue in Microsoft Dynamics NAV

Purchases and Direct Cost Applied Accounts Do Not Net to Zero in NAV

In an earlier blog, Purchases and Direct Cost Applied Accounts in Microsoft Dynamics NAV, we explained that these two account balances should always net to zero. Recently, we received a call from a client saying that, in their system, the accounts did not net to zero and wondered why. In another of our Blogs, Exact… Continue reading Purchases and Direct Cost Applied Accounts Do Not Net to Zero in NAV

How Average Cost is Calculated in Microsoft Dynamics NAV

We often get questions on how Dynamics NAV calculates Average Cost and have created a simple example below to illustrate. The explanation below comes from a white paper entitled, “Dynamics NAV 5.0 Inventory Costing.” The explanation of how to calculate Average Cost was explained as follows: Determines the cost of the item at the beginning… Continue reading How Average Cost is Calculated in Microsoft Dynamics NAV

Purchases and Direct Cost Applied Accounts in Microsoft Dynamics NAV

When working on new Dynamics NAV implementations (and for that matter, existing NAV solutions), we get a lot of questions about the Purchases and Direct Cost Applied Accounts—namely, what are they used for? We were trained in accounting that, when an inventory purchase receipt is invoiced (vouchered), we would debit the Inventory Account and credit… Continue reading Purchases and Direct Cost Applied Accounts in Microsoft Dynamics NAV

Using the Standard Cost Worksheet in Microsoft Dynamics NAV

If your company is using the Dynamics NAV Standard Cost Method, there are times when you need to establish Standard Costs for Purchase and Produced items. In Dynamics NAV there is functionality and a process for establishing Standard Costs that will update the Standard Costs for the Items, and, just as importantly, create a Revaluation… Continue reading Using the Standard Cost Worksheet in Microsoft Dynamics NAV