Not Entering a Purchase Price
If you do not enter a purchase price for an item and the item has never been received, this can cause unexpected inventory costing results. If you sell an item that shows a cost of zero before you receive it, the following complications can arise:
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a long costing run
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no cost specified for the item until the item cost is accurately recalculated based on a receipt or inventory adjustment cost
When you sell an item that has never been received, the cost of the item is calculated as zero. When the item is received, NetSuite creates a costing adjustment for the item. The adjustment is based on the item receipt, and the item fulfillment is updated with the new cost.
When a non-zero value is entered on the item receipt and it posts to the general ledger, a cost adjustment line accompanies the item receipt.
If the transaction date of the item receipt is in a closed period, the closed period needs to be re-opened.
Best Practices
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Enter a purchase price for your items. The purchase price you enter should be your best estimate of the price that will appear on the purchase order. For more information, see Entering Purchasing and Inventory Information on Items.
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Restrict fulfillment until the item is on hand or has been received. For the preference Fulfill Based on Commitment, select Limit to Committed. For more information, see Order Management Accounting Preferences.
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Use approval routing to require approval for purchases. Require a cost to be entered as part of the approval process. For more information, see Approval Routing.
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If you use the Warehouse Manager role, customize the role for the following: Rate access level is View only, Quantity access level is Edit. For more information, see NetSuite Roles Overview.
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Set item receipts to default to show the cost from the linked purchase order.
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Always receive the purchase order for an item before you ship or fulfill the item.
You can contact NetSuite Customer Support to enable a preference to use the item's purchase price instead of zero for an underwater shipment. This can minimize complications if the purchase price is equal to the price eventually entered on the receipt.