Indicate Supplier Invoice Consideration Level

Explanation

Use this activity to define the supplier invoice consideration level that is used as the default setting for all new inventory parts that are entered on the site. It is required to perform this activity, and it should be performed by a system administrator or a person in a similar capacity.

The supplier invoice consideration levels are:

Value	Description
Ignore Invoice Price	Could be used for all inventory valuation methods and cost levels. The supplier invoices will not affect the inventory value. Price differences will be booked when the invoice is matched.
Periodic Weighted Average	Could only be used together with the valuation method Standard Cost. Price and manufacturing differences will be used to calculate a weighted average on a periodical basis.
Transaction Based	Could only be used together with the valuation method Weighted Average. The supplier invoice price will be used to re-calculate the weighted average on a transaction based level.

Prerequisites

This activity has the following prerequisites:

A site must have been entered.
The inventory valuation method must allow the indicated supplier invoice consideration (see conditions above).

System Effects

As a result of this activity:

The defined supplier invoice consideration level will be the default value for all the inventory parts entered at this site.
The supplier invoice consideration level can be changed at the part level.

Window

Site

Related Window Descriptions

Site
Site/Extended Site Info
Site/Extended Site Info/Inventory
Sites Analysis

Procedure

To perform this activity, follow these steps:

Open the Site window.
Populate or search for the site you want.
On the Extended Site Info/Inventory tab, in the Supplier Invoice Consideration list, select the default option to use for the site.
Save the changes.