A simple task is taking too long to figure out - we purchase pre-printed labels that we apply onto each box. We don’t sell these labels but do have them include in our BOM’s since we apply a label onto each box of finished goods. We purchase the label on a roll of 500 labels per roll and we apply 1 label per finished goods box.
My Base Unit and Sales Unit is set to Label and my Purchase Unit is set to ROL500. I have a Units of Measure conversion set as From Unit: ROL500, To Unit: LABEL, Multiply 500.
To test the conversion, I perform an Inventory Transaction Adjustment where I add 2 ROL500 (1000 labels). The unit price of $12.50per roll appears correctly and the Ext Cost is the price times 2. I then release and see the 2 ROL500 added at the correct cost.
When I go to the Inventory Summary screen, it shows that I have a quantity of 2, but the UOM is displayed as LABEL even though I added ROL500. I want it to show ROL500 since that’s what we purchase. The Inventory Valuation Report shows that I have a quantity of 2, but it doesn’t display a UOM so I don’t know if it’s ROL500 or LABEL.
In Bill of Materials, this item is listed a LABEL with a quantity of 1. But the cost associated with the 1 label is showing as the cost of the entire roll, not 1/500 of the cost as expected.
What do I have setup incorrectly that’s causing these issues?
Best answer by kokjietan
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