Product Lots

A Lot in Simple Accounting is a collection of the same product, stored at the same Site. Lots are used to track Customer or Distributor Owned Products in Simple Accounting if you use either LIFO or FIFO Costing (selected in Setup|A/P & Purchasing Options.) The remainder of this discussion assumes that you are using one of these two costing methods.

A Lot is created every time you receive in a Product on a Purchase Order, either from Sales Orders or through the Vendor Purchase Order Browse.

Each Lot has five characteristics:

• A Product ID

• A Site where it is stored for release

• A Quantity

• A Lot Number (usually a Vendor Job ID)

• A Cost.

…So if you purchase a quantity of envelopes but ship them to two locations. Each location is considered a separate Lot. Also, if you purchase the same item on two different Vendor Job IDs, even if they are at the same cost, they are considered different Lots.

When you release Products during the Sales Order process, the quantity of the Lot is reduced. When the Lot is exhausted, the Lot is removed from the system.

VIEWING AVAILABLE LOTS

You can view the currently available Lots for any Product by right clicking on the Products Browse.

LOTS ON COUNTS

When you take a count at a particular Site, you must count each Lot separately and indicate the Lot’s original Lot Number when you enter the count. If you do not, Simple Accounting assumes that the quantity counted is one lot at the single cost you have entered. By default, the first available Lot Number is automatically selected for you as enter each Product to be counted.

LOTS ON SALES ORDERS

If there is more than one Lot available at a Site, you can press the Field Lookup Button next to the Lot field in the Sites & Quantities Window to select an alternate Lot. Again, if you select an alternate Lot, you are choosing to use the cost associated with that Lot.