Period or perpetual accounting method
Requirement
The accounting for purchases of inventory can follow the perpetual method or the periodic method:
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Perpetual accounting where purchases directly update the balance sheet
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Periodic accounting where purchases in a period first update the profit and loss
M3 solution
To meet the accounting preference of customers, this internal accounting rule can be set at the entity or division level.
Configuration guidelines
| Program ID | Program name | Description or comment |
|---|---|---|
| CAS900/E | Settings – Cost Accounting | Parameter 010 – Inventory System |