Receipt of Consumable Items
Consumable items are products not intended to affect inventory in the target
warehouse, but to be expensed.
The account used for the expense amount is the Consumable Account found on the Other tab of the Distribution Accounts form.
When receiving a consumable item, the distribution account is selected using the combination of the item's product code and the target warehouse.
For material tracking purposes, an actual receipt followed immediately by a miscellaneous issue is performed. The Consumable Reason Code on the Inventory Parameter form is used. A material transaction record designates the reduction of inventory.
The initial receipt affects the inventory account. When a transfer is performed, the consumable expense account from the target warehouse is affected.
These journal entries are made:
| Description | Debit | Credit |
|---|---|---|
| Initial Receipt | Inventory Account of Target Warehouse Location | |
| Inventory Account of Source Warehouse Location | ||
| Miscellaneous Receipt | Consumable Expense Account from Target Warehouse | |
| Inventory Account of Target Warehouse Location |