If I use perpetual stock do I have to set Default Income & Expense Accounts for the Item Stock Groups?
If I’m understanding perpetual stock correctly then all the movements are handled automatically and with the hard coded accounts created specifically for the different movements therefore setting them would be pointless.
Is this right?
For more information you can refer following links:-
https://manual.erpnext.com/contents/stock/accounting-of-inventory-stock/perpetual-inventory
https://manual.erpnext.com/contents/stock/accounting-of-inventory-stock
Shraddha Ranjane
New Indictrans Technologies Pvt. Ltd.
Hi @shraddha. Neither of those deal specifically with my query and it was in response to reading them that my query arose. I’m looking to confirm that if I used perpetual stock then setting the Default Income or Expense Accounts in the Stock Item Groups is not required as all relevant accounts in respect of stock movements in terms of quantities and valuation are handled automatically by erpnext.
Is that understanding correct?
@eamonn its not required. Default should be Cost of Goods sold (or equivalent) unless you want to book some items separately.