Error: 'Average cost below zero for stock code [code]' when returning an item

Error: 'Average cost below zero for stock code [code]' when returning an item

Problem

When a user tries to return an item with a cost that is higher than the purchase price, the system gives a notification that the Average Cost below zero for Stock Code [code]

Example:





User has 465 * 4.0697 in stock = €1,892.41

Trying to return 462 * 5.75 = €2,656.50

€1,892.41 - €2,656.50 = - €764.09

Even though the user is returning a smaller quantity, the cost is much larger, resulting in a negative value.

Environment

  1. SIMS: Return to Supplier module

Solution

1. Change the Average Cost:

The user needs to change the average cost of the product to return the item at that cost.
The average cost can be changed by pressing the Avg button located in the stock cards details:


Solution

2. Make an Adjustment Deduct:

This can also be done by making an Adjustment Deduct of the current item and then an Adjustment Add of the same item with the correct average cost.

Cause

 The user attempts to return an item with a higher cost than the purchase price.



Related articles: 
Reversing a consignment in SIMS