When Item default expense account will be apply?

I have set the value for default expense account per item, anyone know where this transaction will take place?

Whenever you perform an Accounting Transaction with those Items, e.g. Purchase Invoice, respective expense ledger defined in respective Item with value in transaction will be updated.

Hope this helps.

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@gupteshwar when it will recorded in profit and lost statement?

As soon you book Accounting Transaction e.g. Purchase Invoice [on Submit].
if it is a non-stock/service Item.

If it is a Stock Item and Perpetual Inventory is On then it would be booked on consumption or sale of the respective Item.
Refer : Perpetual Inventory

Kindly explain a case study and question properly to help appropriately.

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