web
You’re offline. This is a read only version of the page.
close
Skip to main content

Notifications

Announcements

No record found.

News and Announcements icon
Community site session details

Community site session details

Session Id :
Dynamics 365 Community / Forums / Supply chain | Supply Chain Management, Commerce / Costing_MA_WA_Closing
Supply chain | Supply Chain Management, Commerce
Suggested Answer

Costing_MA_WA_Closing

(0) ShareShare
ReportReport
Posted on by vivekd365singh 235

Hi Experts,

Am testing the impact if cloosing and costing technique (item mdel group) !!

I have created 2 PO & 1 SO each for the product where I had choses cosing technique as Moving average and Weighted average .

For both the products  & invoices it.

PO1.   10Q * 100 

P2.      20Q*110

Sales Order : 20*150 

When I run Inventry re calculation there is no adjustment happenin in either of the Inventories transactions . Am testing the inventory closing and costing impact .

Below are the screenshot post invoice and recalculatin they are same !!

Weighted average -   3200//30 =  106.66

pastedimage1657445051684v2.png

Moving Average 210/2=105   , This should have been 10*105 = 1050  but its shoowing 1066 .67

pastedimage1657444954109v1.png

Question:-  Which Cost is being first till we dont do the Closing ? Moving or Average  ?

Question :- Why in above case its not being overidden as per the answer of question 1 ?

Thanks in advance ! 

I have the same question (0)
  • Suggested answer
    BillurSamdancioglu Profile Picture
    BillurSamdancioglu 19,703 Most Valuable Professional on at

    community.dynamics.com/.../part-5-inventory-closing-in-d365-supply-chain-management-march-23-2022

    You may find your answers from FastTrack team videos for costing questions. I shared one of the videos but can find all the series.

  • Suggested answer
    Guy Terry Profile Picture
    Guy Terry 28,924 Moderator on at

    In both your examples, inventory is issued to the sales order at the average cost price. Assuming that your SO was delivered after both POs are received/invoiced, the average cost of each unit of inventory is 106.66. (I'm not sure where you get 105 from).

    I think you are wondering why Inventory close has not done 'anything'. In the WA example, Inventory close will re-calculate issue amounts to ensure that all issues in a single period have the same cost price, by considering all receipts within that period. Since the initial cost price already included all receipts in the period, there is nothing for Inventory close to do.

    In the MA example, Inventory close does nothing. MA is designed not to require an Inventory close. You would see the effect of Moving Average if you had sold the item before a PO invoice had been posted, and only when a PO invoice line has a different value to the PO line.

Under review

Thank you for your reply! To ensure a great experience for everyone, your content is awaiting approval by our Community Managers. Please check back later.

Helpful resources

Quick Links

Responsible AI policies

As AI tools become more common, we’re introducing a Responsible AI Use…

Neeraj Kumar – Community Spotlight

We are honored to recognize Neeraj Kumar as our Community Spotlight honoree for…

Congratulations to the November Top 10 Community Leaders!

These are the community rock stars!

Leaderboard > Supply chain | Supply Chain Management, Commerce

#1
Laurens vd Tang Profile Picture

Laurens vd Tang 271 Super User 2025 Season 2

#2
Siv Sagar Profile Picture

Siv Sagar 171 Super User 2025 Season 2

#3
André Arnaud de Calavon Profile Picture

André Arnaud de Cal... 130 Super User 2025 Season 2

Last 30 days Overall leaderboard

Featured topics

Product updates

Dynamics 365 release plans