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EXPECTED COST POSTINGS

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Posted on by Abati Seun

Hi All,

I turned on expected cost posting in my inventory setup because i want to create an accrual entry at the time of receiving purchases.

i am fine with the results of posting the receipts, but i have an issue with how the purchase invoice is posted thereafter.

How do i post the invoice without the "INVTPCOST" entries. I want the invoice to only recognize the first three entries i.e Debit the account that was credited on the receipt entries, debit tax and credit the vendor. the 4 entries below are unnecessary in my opinion, please how do i prevent them from happening. They do not show when i turn off the expected cost posting in my inventory set up, but if i do that, I'm unable to recognize accruals upon receipt.

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Jun Wang 8,210 Moderator on at

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When expected cost posting is enabled, accrual entries are created upon receipt to record anticipated costs. These accruals are reversed automatically when the purchase is invoiced, as Business Central posts the actual costs.

If expected cost posting is set to NO, accrual entries won’t be posted upon receipt. So the additional entries seen during invoicing are necessary reversals of the initial accrual, aligning with standard accounting behavior.

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Valentin Castravet 32,502 Super User 2026 Season 1 on at

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That's not possible, as those four entries you’re concerned about are necessary. Without them, the entries booked to the GL would be incorrect.

When you receive the item, the system creates two entries to post the expected cost. When the invoice is posted, those initial two entries with the expected cost are reversed, and the system posts the actual cost using the final two entries. The system needs to have a way to differentiate between expected and actual cost and that's how it does it.

Valentin Castravet
Work: Zander ERP Services
Blog: Dynamics 365 Business Central Insights
LinkedIn: www.linkedin.com/in/valentin-c-0500a247/

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YUN ZHU 99,968 Super User 2026 Season 1 on at

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Hi, I'm not sure if this will meet your needs. You can try Purchase Journal, which has nothing to do with Item, so it won't generate "INVTPCOST" entries.

Hope this helps.

Thanks.

ZHU

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Ahmed Mohamed Rafik 3,049 User Group Leader on at

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Expected cost posting creates accruals at the time of the receipt, but it inherently adds these additional postings at the invoice stage to adjust any discrepancies. Since this feature is designed for accrual purposes, it’s not possible to remove specific G/L postings directly without turning off Expected Cost Posting entirely.

For the automation of Reversal Entries, With custom AL code, it’s possible to automate reversing entries that would clear these specific INVTPCOST lines post-posting.

The Expected Cost Posting feature is designed for scenarios where accuracy and interim costs are crucial, so fully bypassing these extra entries may not be supported without customizing the G/L logic in the system.

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