Capture Expenditure Information in Project Costing for Sales Order Shipments

You can capture expenditure information in Project Costing for shipments of material from Inventory. You will continue to bill your customers from Oracle Project Management. The Sales Order Issue Inventory transaction is processed and accounted in Costing. The costs are then interfaced to Oracle Project Portfolio Management (PPM).

Sales Order Shipments from Common Inventory

Let's see how the sales orders are accounted for shipments from a common inventory.

In the case of an intracompany shipment (the shipping organization and the selling organization are same), these accounting distributions are created for Sales Order Issue.

Event Type	Accounting Line Type	Transaction Type	Project Expenditure
Sales Order Issue	Project Clearing	Debit	Yes (positive)
Sales Order Issue	Inventory	Credit	Yes

In the case of an intercompany shipment (the shipping organization and the selling organization are different), these accounting distributions are created for Sales Order Issue.

Event Type	Organization	Accounting Line Type	Transaction Type	Project Expenditure
Sales Order Issue	Shipping Organization	Trade in Transit	Debit	No
Sales Order Issue	Shipping Organization	Inventory	Credit	No
Trade Sale Issue	Selling Organization	Project Clearing	Debit	Yes (positive)
Trade Sale Issue	Selling Organization	Trade in Transit	Credit	Yes

If the costs aren't interfaced to PPM, then these accounting distribution are created for intracompany shipment.

Event Type	Accounting Line Type	Transaction Type
Sales Order Issue	Deferred Cost of Goods Sold	Debit
Sales Order Issue	Inventory	Credit

If the costs aren't interfaced to PPM, then these accounting distribution are created for intercompany shipment.

Event Type	Organization	Accounting Line Type	Transaction Type
Sales Order Issue	Shipping Organization	Trade in Transit	Debit
Sales Order Issue	Shipping Organization	Inventory	Credit
Trade Sale Issue	Selling Organization	Deferred Cost of Goods Sold	Debit
Trade Sale Issue	Selling Organization	Trade in Transit	Credit

Sales Order Shipments from Project Striped Inventory

Let's see how the sales orders are accounted for shipments from a project striped inventory.

In the case of an intracompany shipment, these accounting distributions are created for Sales Order Issue.

Event Type	Accounting Line Type	Transaction Type	Project Expenditure
Sales Order Issue	Project Clearing	Debit	No
Sales Order Issue	Inventory	Credit	No

In the case of an intercompany shipment, these accounting distributions are created for Sales Order Issue.

Event Type	Organization	Accounting Line Type	Transaction Type	Project Expenditure
Sales Order Issue	Shipping Organization	Trade in Transit	Debit	Yes
Sales Order Issue	Shipping Organization	Inventory	Credit	Yes (negative)
Trade Sale Issue	Selling Organization	Project Clearing	Debit	Yes (negative)
Trade Sale Issue	Selling Organization	Trade in Transit	Credit	Yes

If the costs aren't interfaced to PPM, then the accounting distribution for intracompany and intercompany shipment are same as that created for shipments from common inventory.

Drop Ship Sales Orders

In the case of drop ship, we can have two scenarios, one where the customer-facing organization and supplier-facing organization are same and another where they're different.

These accounting distributions are created in the case where the customer-facing organization and supplier-facing organization are same.

Event Type	Accounting Line Type	Transaction Type	Project Expenditure
Trade Sale Issue	Project Clearing	Debit	Yes (positive)
Trade Sale Issue	Drop Ship Inventory	Credit	Yes

In the case where the customer-facing organization and supplier-facing organization are different these accounting distributions are created.

Event Type	Organization	Accounting Line Type	Transaction Type	Project Expenditure
Trade in Transit Issue	Customer Facing Organization	Intercompany Cost of Goods Sold	Debit	No
Trade in Transit Issue	Customer Facing Organization	Drop Ship Inventory	Credit	No
Trade Sale Issue	Supplier Facing Organization	Project Clearing	Debit	Yes (positive)
Trade Sale Issue	Supplier Facing Organization	Trade in Transit	Credit	Yes

If the costs aren't interfaced to PPM, then these accounting distribution are created when the customer-facing organization and supplier-facing organization are same.

Event Type	Accounting Line Type	Transaction Type
Trade Sales Issue	Deferred Cost of Goods Sold	Debit
Trade Sale Issue	Drop Ship Inventory	Credit

If the costs aren't interfaced to PPM, then these accounting distribution are created when the organizations are different.

Event Type	Organization	Accounting Line Type	Transaction Type
Trade in Transit Issue	Customer Facing Organization	Intercompany Cost of Goods Sold	Debit
Trade in Transit Issue	Customer Facing Organization	Drop Ship Inventory	Credit
Trade Sale Issue	Supplier Facing Organization	Deferred Cost of Goods Sold	Debit
Trade Sale Issue	Supplier Facing Organization	Trade in Transit	Credit