Understanding Cost Object Information Entry in Purchase Order Receipts

After you receive the goods on a purchase order, you must record the details of the receipt. The system uses receipt information to:

• Update item quantities and costs in the JD Edwards EnterpriseOne Inventory Management system.

• Update general ledger accounts.

When you receive goods, you must verify that the details of the receipt correspond to the information on the purchase order. You must verify item numbers, quantities, units of measure, costs, and so on. If the receipt details differ from those on the purchase order, you must adjust the purchase order detail lines to reflect the receipt. For example, if landed costs, such as delivery charges or import taxes, apply to the item's purchase price, you enter these costs during the receipt process.

Each time that you receive an order, the system:

• Creates a receipt record in the Purchase Order Receiver File table (F43121).

• Updates item quantities and costs in the Item Location File table (F41021).

• Adds a new record to the Item Ledger File table (F4111).

• Updates the appropriate accounts in the Account Ledger table (F0911).

If you entered cost object information during purchase order entry, you can review cost object types, edit codes, and item information during the receipt process. Optionally, you can enter cost object information during the receipt process. The system verifies the cost object type and the cost object edit code that you defined in the Account Master table (F0901). If the processing option is set to use flex accounting, the system searches flex accounting rules to determine how to automatically populate cost objects.

You must set the processing option to use flex accounting in Purchase Order Receipts.