When running a revenue recognition, you receive the warning:
Costs without assignment to a sales order exists for project.
You have assigned the expense posting ( supplier invoice ) to the sales order item in the edit time and expenses, which resulted in the posting of Customer Project Expense List but you found that the cost moved from project to project + sales order item and while doing so, the system excluded the surcharge amount incurred in the supplier invoice.
Reproducing the Issue
- Go to Cost and Revenue work center
- Go to Periodic Tasks view
- Select Revenue Recognition sub-view
- Click on the Revenue Recognition ID you need
- Go to tab Messages
You can see the message 'Costs Without Assignment To A Sales Order Exists For Project'.
Go to General Ledger work center.
- Journal Entries view and find the relevant Journal Entry ID which is of Journal Entry Type: 00098 - Expense Assignment to Sales Documents & Source Document Type 555 - Customer Project Expense List
- Credited GL Account with assignment to Project & Project Task.
- Debited GL Account with assignment to Project, Project Task, Sales Document ID.
But the posted amount is (Supplier invoice Amount X - Surcharge ).
You have posted few Supplier Invoices with Account Assignment Type as PRO - Project Task . Generally, when a Supplier Invoice is incurred against a project, the journal entry posted by the original would be against the project. But when the corresponding Customer Project Expense List is also posted the costs would be moved to project + sales order item.
But an exception to this rule is only when the supplier invoice also includes Surcharge Amount or Discount Amount added in the Overall Deductions and Surcharges tab of the supplier invoice.
Here, just for the purpose of Knowledge Base Article, we have added Discount as well to show that amount posted in either of the fields does effect and may lead to the warning described in the revenue recognition.
When surcharges are added in Supplier Invoice, this part of it, is not sent to Project. Hence, when the original Supplier Invoice is posted, it is posted for the whole amount, however when Customer Project Expense List moves to project + sales order item, the surcharge amount or discount amount is left out and this amount remains against project only and hence revenue recognition also does not happen and hence the warning message.
Currently system does not support to send surcharges or discount amount recorded in the invoice to the projects. This will be considered for a future ByDesign version.
You need to create Manual Journal Entry voucher as an adjustment entry to move this surcharge or discount portion amount to sales order directly.
Sample Fields to fill in the Journal Entry Voucher
Type 00088 – Manual Entry for Sales Documents
Variant 633 – Man. Adjusting Entry for Sales Documents
G/L Account: Deferred Cost of Goods Sold; Amount; G/L Account (Org.); Project Task
G/L Account: Deferred Cost of Goods Sold; Amount; Sales Doc Type; Sales Document; Sales Document Item; G/L Account (Org.); Project Task
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