4000     COST OF GOODS SOLD

This account should match the 'Cost' on sales reports unless other transactions have been manually posted to this account.

   4010     SUPPLIER DISCOUNTS

Where a % discount is setup on a vendor, the value of the discount is posted to this account.

   4020     PURCHASING MARKUPS APPLIED

Where the 'apply markup' option is used on a purchase order, the internal margin between the value added to stock and the value of the receipts is posted to this account.

   4030     SALES RETURNS VARIANCE

When entering a credit for items without returning stock, the value of the stock goes to this account as it cannot go to stock on hand.

   4090     STOCK ROUNDING LOSS/GAIN

This account is used to deal with variances between the value of stock transactions and the actual change in stock value. For example when a product is receipted in but the quantity x cost is not added to stock on hand due to a zero qty or cost.

eg. 400000 GLASS SCREEN - PRO WEIGH SCALES in WH01 was sitting at -1 on hand with zero cost in Feb (one was sold in Feb but the product code had no average cost.) On the 30/3 one was received in @ 22.50 which made the stock go to a qty of zero on hand @ 22.50. The value change in stock was $0.00 (-1 @ 0.00 =0 + 1 @ 22.50 = 0 @ 22.50) but the transaction itself was worth +22.50 via the receipt, so the difference is written off to this account.

   4110     NON-INVENTORY COST RECOVERY

When a  non-diminishing product is sold or receipted in and assigned a cost, the value is assigned to this account as it cannot go into, or come out of, the stock on hand account. Where the receipt and invoice are the same cost, the transactions will be in and out, any difference between the two will show as a balance in this account.

   4120     PURCHASE PRICE VARIANCES

This account holds the value of any variances between the value of stock received and the value of the supplier invoice (ie a product is receipted in for $500 but when the supplier invoice is matched it is for $550,  therefore $50 would go to this account). The same applies to goods returned on RFCs where either no stock was returned or there was a variance between the value of stock returned and the credit note received.

   4130     MATERIAL PRICE VARIANCE

This account deals with variances between the costs of stock (based on average cost) and costs on sales invoices. Variances can occur due to average cost changes on a product between the time an invoice is generated and the time an invoice is updated/finalised. Variances can also occur where a cost of sales loading or cost of sales override has been entered on a product, or a cost override has been entered on a sales order or sales invoice.

   4300     SUPPLIER REBATE

The account supplier rebates should be manually entered to.

   4400     FREIGHT & CARTAGE

The account freight/cartage invoices should be manually entered to.

   4500     WORK BY SUB-CONTRACTOR

The account sub-contractor invoices should be manually entered to (eg Installers).

   4600     BOM LABOUR/CONSUMABLES RECOVERY

The account the value of labour for products that are 'built' is posted to by the Bill of Materials module. Eg A product has a labour component of $50.00 each time it is built. The build materials come out of stock at their average cost, the labour is added and the total new value is added back into stock, the labour component will be posted to this account. The labour component is then taken up as a 'real cost' elsewhere. (eg if the labour to build the item is performed in house, this comes out in wages or if it is built externally, then an invoice is usually received and entered to 'work by sub-contractor' to account for the cost)

   4900     EXCHANGE RATE VARIANCE

Where multiple currencies are used in the creditors module, this account holds any variances in exchange rate between the time the invoice is entered and the time it is paid.

   4910     SETTLEMENT DISCOUNT GIVEN

Used by the debtors system to account for discounts given in 'Debtors Posting'.

   4920     STOCK ADJUSTMENTS

Stock value changes made via stock adjustments.

   4930     CASH-UP/TILL RECONCILIATION VARIANCES

Variances between amounts taken according to the POS module, and amounts banked via the debtors modules.