Hi
Pls Can any one explains what's the main differences of Inventory Closing and inventory Recalculations,which one I should go with to settle my cost prices in right manner .
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Hi,
The main difference is that the Closing is in a way definitive. After closing you cannot post new inventory transactions in a closed period. The recalculation is not closing the inventory. After you have added new transactions a new recalculation or closing can be executed then.
Note that when needed you can reverse a closing and recalculation.
Dear Andre,
Thank you so much for replaying ,Is that means we can use Recalculations instead closing on monthly bases? Is that also will reflect the correct cost prices on Cogs Accounts ?
Hi Becatcho,
The closing will ensure that you will not post older transactions and will also close transactions for future recalculations/closings. This means using the closing functionality will ensure this process will run faster. In the past I had seen a situation where they were not able to do the recalculation anymore during night time because they did not close the inventory.
If you are using an inventory model that needs an inventory close, you should always use Inventory closing eventually. You can use Recalculation in between inventory closes if you like.
Aside from what André has written, Inventory close will mark receipts to issues, which recalculation does not do. This means inventory close (when you finally do it) can change which receipts are used to cost an issue.
The help also always makes this statement:
"since inventory recalculation will not make an adjustment for less than the throughput amount, it is not as accurate as an inventory close and should not be relied on to replace inventory close."
Whilst I vaguely understand what the throughput amount relates to, I have no idea what it means in the context of this statement!
Guys am receiving this after running inventory Recalculations 8 months back instead to close every month :This inventory closing or recalculation has reached the maximum number of iterations. For a more accurate result, consider increasing the maximum throughputs parameter.
Q: if previous months are closed and i am going Inventory recalculation or closing of new month it will consider transactions of all previous months ? or make the back dated settlements either for closed periods or this process will not touch previous periods , just take the inputs from last closed Period and start doing processing..
Please clear this...
Thanks.
It will not post into a closed period, but it can make adjustments to transactions in previous periods regardless of whether they are closed or not (it posts the adjustments to the date of this Inventory close/recalculation).
When you run inventory recalculations system working on open periods only but not the closed ones ,unless you remove previous invnetory closing .mainly you can not post inventory transactions to inventory closed period.
dear all can any one help me in this issue
community.dynamics.com/.../640070
Hi Abdulrahman Nabil,
Inventory recalculation is to adjust the cost of inventory issue transactions as per the inventory receipt transactions and according to the inventory model attached in the item model group (FIFO, Weighted avg. etc.)
While Inventory close is to settle the inventory issue transactions with the inventory receipt transactions. This is to keep the inventory issue transactions and its cost in sync with inventory receipt transactions and its cost. ( Go to closing and adjustment --> Select line --> settlement)
Inventory recalculation can be run on the set of items while inventory closing must be performed for all the inventory items.
Transaction can be posted even after inventory recalculation while no transaction posted after inventory closing.
It is always preferred to go with inventory closing as it gives more accurate result than inventory recalculation. Inventory recalculation can be run for set of items and its cost adjustment is depending on the through amount given so is less accurate than inventory close in certain cases.
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