Hi All,
I would like to confirm & clarify the "meaning/ terminology" of
* FIFO Periodic
My understanding of "Periodic Inventory Method" is :
--> Inventory $ & Cost of Goods Sold$ are only determined "periodically" ,
such as , "by end of the month" , the Inventory$ are determined by
the Month End Physical Inventory Count , from which the Cost of Goods
Sold$ could also be accurately determined ( if the Physical Count is
accurate)
Question
1) We would like to apply "Standard Costing" in GP; hence we need to use
FIFO Periodic; Does it means we also have to use Periodic Inventory Method"
when we choose FIFO Periodic as the Valuation Method in GP?
2) When we choose "FIFO Periodic" Valuation Method in GP, will GP
automatically assign "Standard Cost- Item Maintenance" on the PO?
(when Purchaser issuing PO)
Please advise..
Thank you & Good Day
*This post is locked for comments
Hi,
FIFO (First In First Out) Periodic means the item's actual cost is posted to the GL when received to inventory, the standard cost is posted when the item is transferred, sold, disposed, etc..
FIFO Perpetual is a GL posting of actual costs when received, sold, disposed, transferred, etc.
Stay up to date on forum activity by subscribing. You can also customize your in-app and email Notification settings across all subscriptions.
André Arnaud de Cal... 291,113 Super User 2024 Season 2
Martin Dráb 229,918 Most Valuable Professional
nmaenpaa 101,156