The Post Inventory to G/L function (Accounting / G/L / Post Inventory to G/L) creates Journal Entries to post the value of inventory to the inventory asset General Ledger Account for each Inventory Department.
When the value of unprocessed purchases is included, this creates two additional Journal Entries for each department with unprocessed purchases. One Journal Entry posts the value of the unprocessed purchases for the department into the designated Location Key Account AP Estimated (credit), offsetting to the inventory asset account (debit). The other Journal Entry is a Future Journal Entry that is a reversal of the first Journal Entry for unprocessed purchases (debit AP Estimated, credit Inventory asset).
If inventory was posted to the GL with the Post Unprocessed Pur Recs option checked more than once in the fiscal month, the subsequent postings result in inflated entries to the COGS account(s). The process for correcting this depends on if the month has been ended. The two cases are listed below.
Case #1 - Month has not yet Been Ended
To correct any posting done more than once, delete all related Future Journal Entries, then reverse all of the current month Journal Entries for unprocessed purchases. This will be Journal Entries made to the AP Estimated account. Be careful to NOT reverse any Journal Entries made from previous month Future Journal Entries.
Following this procedure will completely reverse all entries for the month. To the have unprocessed purchases posted to the General Ledger, post again at Accounting / G/L / Post Inventory to G/L.
Case #2 - Month has Been Ended
To correct the double posting, reverse the second posting of unprocessed Purchase Receipt reversals in the current month. Because the second Post Inventory to GL included the value of the previously posted unprocessed Purchase Receipts in the Inventory Asset account, the Purchase/Cost of Goods Sold account would have been inflated by this Purchase Receipt value. To correct, a manual Journal Entry will need to be entered in the prior month (debit AP Estimated, credit Purchase/Cost of Goods Sold (per department)) for the value of the first posting of the unprocessed Purchase Receipts.
