Define inventory costing and pricing parameters on this tab.
Each option and field on the form is described below. Mandatory options and fields are highlighted in red.
Calendar
Select the calendar for summarising inventory transactions by period.
Costing Method
Select the costing method used system-wide to calculate the value of inventory and the cost of goods. You can select:
Note: If you allow item over-selling and you use an average costing method, an automatic cost adjustment transaction may be required to ensure the item's average cost is calculated correctly when the item is received subsequent to an over-sell.
Use as default for data entry
This option is enabled if a Standard Cost method is selected.
Select this option to default the cost price displayed for an inventory item when purchase orders and invoices. If no standard costs are located, at either a location or a master level, a cost of 0.00 is returned.
Costing Level
Select whether to edit costs at a location level or a master level. This is enabled if you are using locations. If you select Location Level, you can set up costs by location, and Greentree Desktop updates costs if applicable at a location level, using the location associated with each transaction. When you enter a transaction, the cost that defaults to the transaction line is using the location for the line
Note: Greentree Desktop does not create or edit a standard cost at a master level when location level costing is in use because this cannot be determined using transaction entry, as average and last costs can be. If you are using both standard costing and location level costing, a system script is available to set up standard costs at a master and/or mass location level.
If you select Master Level as the costing level, only one cost (average, last, or standard) is maintained for each item, and used when you enter a transaction regardless of the transaction line location (if locations are in use).
Costing Tax type
Select whether line items entered on the Inventory Transaction Entry form are inclusive or exclusive of tax. This is a default only, and you can change it when you enter a transaction. Inventory costs are always maintained and displayed on the Costing Maintenance form exclusive of tax.
Costing Decimal unit
Select the number of decimal places to which to display costs.
Note: If costs are converted between tax types (exclusive and inclusive) additional decimal places displays to ensure calculations are consistent.
Costing Allow system cost change
Select this option to enable users to edit costs the average and last costs.
Pricing Level
Select whether to edit item prices at a location level or a master level. This only applies if you are using locations.
If you select:
Pricing Tax type
Select whether prices are Inclusive or Exclusive of tax.
Note: For companies subject to U.S. sales tax, this defaults to Exclusive and you can't change it.
Pricing Decimal unit
Select the number of decimal places to which to display prices.
Note: If prices are converted between tax types, additional decimal places display to ensure calculations are consistent.
Pricing Markup Indicator
Select a markup indicators to apply to your system pricing.
Pricing Cost base
If you have selected a markup option other than Markups/Margins Not Used, you must select a cost here. This is the basis for calculating the markup or margin. The pricing cost base does not have to be the same as the costing method.