We are transferring inventory from a non-project to a project within the same warehouse (same location). The quantity is moving correctly, but the cost is not following — instead, it's being posted to the PPV (Purchase Price Variance) account.
Later, when we invoice the project (sales invoice), revenue is booked, but no cost appears, resulting in inaccurate margin reporting.
Has anyone faced a similar issue? Could this be related to how the project account groups or inventory posting classes are set up? The cost is not getting capitalized into the project correctly during the transfer.
Would appreciate feedback or best practices for handling inventory transfers into projects to ensure costs are correctly posted and reflected in project billing/COGS.
