Isah always uses this ledger account for posting work in progress to be closed (WIP TBC) for parts. No search path is used.

Journal entry

Ledger account	Category	Type	D	C	Sum
Parts	920	10	X		Quantity * Preliminary cost price
WIP TBC - Parts	920	50		X	Quantity * Preliminary cost price

Posting point

• Create invoice

Journal entry when posting production result

To make sure that the WIP TBC account is working properly, the following journal entry is automatically created when the production result is posted:

Ledger account	Category	Type	D	C	Sum
WIP TBC - Parts	921	10	X		Quantity * Preliminary cost price
Parts WIP	921	20		X	Quantity * Actual cost price
Parts production result	921	30		X	Quantity * (Preliminary/actual cost price difference)

Remarks

• For this example, we have assumed there is a positive production result.
• The preliminary costs must have been entered on the Cost price tab of the Sales lines form.
• The Transfer work in progress from customer order parameter must be set to 'Transfer preliminary cost price when creating invoice'.

Isah always uses this ledger account for posting work in progress to be closed (WIP TBC) for operations. No search path is used.

Journal entry

Ledger account	Category	Type	D	C	Sum
Operations	920	20	X		Quantity * Preliminary cost price
WIP TBC - Operations	920	60		X	Quantity * Preliminary cost price

Posting point

• Create invoice

Journal entry when posting production result

To make sure that the WIP TBC account is working properly, the following journal entry is automatically created when the production result is posted:

Ledger account	Category	Type	D	C	Sum
WIP TBC - Operations	921	11	X		Quantity * Preliminary cost price
Operations WIP	921	21		X	Quantity * Actual cost price
Operations production result	921	31		X	Quantity * (Preliminary/actual cost price difference)

Remarks

• For this example, we have assumed there is a positive production result.
• The preliminary costs must have been entered on the Cost price tab of the Sales lines form.
• The Transfer work in progress from customer order parameter must be set to 'Transfer preliminary cost price when creating invoice'.

Isah always uses this ledger account for posting work in progress to be closed (WIP TBC) for equipment. No search path is used.

Journal entry

Ledger account	Category	Type	D	C	Sum
Equipment	920	90	X		Preliminary cost price
WIP TBC - Equipment	920	70		X	Preliminary cost price

Posting point

• Create invoice

Journal entry when posting production result

To make sure that the WIP TBC account is working properly, the following journal entry is automatically created when the production result is posted:

Ledger account	Category	Type	D	C	Sum
WIP TBC - Equipment	921	12	X		Quantity * Preliminary cost price
Equipment WIP	921	22		X	Quantity * Actual cost price
Equipment production result	921	32		X	Quantity * (Preliminary/actual cost price difference)

Remarks

• For this example, we have assumed there is a positive production result.
• The preliminary costs must have been entered on the Cost price tab of the Sales lines form.
• The Transfer work in progress from customer order parameter must be set to 'Transfer preliminary cost price when creating invoice'.

Isah always uses this ledger account for posting work in progress to be closed (WIP TBC) for external operations. No search path is used.

Journal entry

Ledger account	Category	Type	D	C	Sum
External operations	920	40	X		Quantity * Preliminary cost price
WIP TBC - Operations	920	80		X	Quantity * Preliminary cost price

Posting point

• Create invoice

Journal entry when posting production result

To make sure that the WIP TBC account is working properly, the following journal entry is automatically created when the production result is posted:

Ledger account	Category	Type	D	C	Sum
WIP TBC - External operations	921	13	X		Quantity * Preliminary cost price
External operations WIP	921	23		X	Quantity * Actual cost price
External operations production result	921	33		X	Quantity * (Preliminary/actual cost price difference)

Remarks

• For this example, we have assumed there is a positive production result.
• The preliminary costs must have been entered on the Cost price tab of the Sales lines form.
• The Transfer work in progress from customer order parameter must be set to 'Transfer preliminary cost price when creating invoice'.

This ledger account is used as a safety net account... If no other ledger account is found in the financial search path, the account entered here will be selected.

Journal entry

When equipment is purchased for the warehouse, the following journal entry is created upon receipt:

Ledger account	Category	Type	D	C	Sum
Equipment	600	10	X		Quantity * Purchase price
Invoices to receive	600	20		X	Quantity * Purchase price

The depreciation of the equipment will be charged to the different orders. At the time the hours are processed, the journal entry is created:

Ledger account	Category	Type	D	C	Sum
Equipment WIP	610	10	X		Depends on depreciation type
Equipment	610	20		X	Depends on depreciation type

This ledger account is used as a safety net account... If no other ledger account is found in the financial search path, the account entered here will be selected.

Journal entry

Ledger account	Category	Type	D	C	Sum
WIP TBC - Parts	921	10	X		Quantity * Preliminary cost price
Parts WIP	921	20		X	Quantity * Actual cost price
Parts production result	921	30		X	Quantity * (Preliminary/actual cost price difference)

Posting point

• Post production result

Remark

For this example, we have assumed there is a positive production result.

This ledger account is used as a safety net account... If no other ledger account is found in the financial search path, the account entered here will be selected.

Journal entry

Ledger account	Category	Type	D	C	Sum
WIP TBC - Operations	921	11	X		Number of hours * Preliminary cost price
Operations WIP	921	21		X	Number of hours * Actual cost price
Operations production result	921	31		X	Number of hours * (Preliminary/actual cost price difference)

Posting point

• Post production result

Remark

For this example, we have assumed there is a positive production result.

This ledger account is used as a safety net account... If no other ledger account is found in the financial search path, the account entered here will be selected.

Journal entry

Ledger account	Category	Type	D	C	Sum
WIP TBC - Equipment	921	12	X		Quantity * Preliminary cost price
Equipment WIP	921	22		X	Quantity * Actual cost price
Equipment production result	921	32		X	Quantity * (Preliminary/actual cost price difference)

Posting point

• Post production result

Remark

For this example, we have assumed there is a positive production result.

This ledger account is used as a safety net account... If no other ledger account is found in the financial search path, the account entered here will be selected.

Journal entry

Ledger account	Category	Type	D	C	Sum
WIP TBC - External operations	921	13	X		Quantity * Preliminary cost price
External operations WIP	921	23		X	Quantity * Actual cost price
External operations production result	921	33		X	Quantity * (Preliminary/actual cost price difference)

Posting point

• Post production result

Remark

For this example, we have assumed there is a positive production result.

This account is used if a discrepancy is found in a journal entry.

This account is used if a no safety net account is found in a search path.

This account is used for technical reasons as a suspense account when processing purchase invoices. The account balance is zero. The VAT is determined based on the information on the Financial VAT policies form.

See also Search path for VAT suspense account.

The difference between the total sum of a purchase invoice header and the total of the sums of the underlying purchase invoice lines is posted to this ledger account. To configure whether such differences are allowed, and if so, to set the maximum difference allowed, choose the Basic data form > Purchase tab.

Journal entries when posting a purchase invoice for parts to order that has a difference

Ledger account	Category	Type	D	C	Sum
Parts (costs or WIP)	830	21	X		Quantity * Invoice price
Creditors	800	10		X	Quantity * Invoice price

Invoices to receive	802	10	X		Quantity * Purchase price
Parts (costs or WIP)	802	20		X	Quantity * Purchase price

Purchase invoice differences

830

90

X

Difference

Posting point

• Permanent processing of the purchase invoice

Remark

The Purchase invoice differences account will only appear in the safety net.