Delivery: Items Section

In this section, you can add and define items to be delivered.
 
Items section comprises 2 tabs, the Goods tab and the Services tab.
 
Under the Goods tab, you can add one or multiple goods (items of the item types Inventory, Fixed assets or Non-inventory) and enter information about them. Also, you have to specify shipment terms for those goods and select a warehouse from which the goods for sale will be shipped. To define shipment terms and provide warehouse information for added goods, you have to fill in the following fields: 
 

Field/Option

Used for

Warehouse

Select a warehouse from which the goods for sale will be shipped.

  • Warehouse is provided automatically once you select a sales manager being retrieved from the manager's employee record created in the Employee directory. It is a warehouse set as a default warehouse from which the manager (an employee who performs duties of a sales or purchasing manager) sells goods. If no specific warehouse is assigned to the selected sales manager or no sales manager has been specified in the document, the default warehouse defined in My company settings will be provided in this field. Still, you can select an alternative warehouse instead of the one that is assigned to the sales manager if necessary.
  • It is a required field if at least one item has been added. In this case, if you delete this autocompleted warehouse and do not select an alternative one, you will not be able to save the document. 
  • If multiple warehouses are not allowed in the system (Multiple warehouses option is turned off in My company settings), the Warehouse field will not be displayed on the form. All reservations or reduction of in stock quantity of goods will take place for the default warehouse selected in My company settings. For more details about defining inventory management settings, see My Company Settings: Preferences Tab.

Incoterms

Select the Incoterms which are relevant to your business situation. 

  • Incoterms that are usually used for the given customer are provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change the autocompleted Incoterms if necessary. 

Destination

City to which quoted goods have to be transported. 

  • Destination to which goods are usually delivered for the given customer is provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change the autocompleted destination if necessary.

Method of delivery

 Select a method of transporting quoted goods to your customer from the list of delivery methods added to the system or create a new method of delivery. 

  • Method of delivery that is usually used for the given customer is provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change it if necessary.
 
To add a service or services, go to the Services tab, add a new service (items of the item types Service) and enter details about them. No warehouse or shipment terms have to be selected for services, as they are not subject to inventory management and are rendered, not shipped. Thus, the mentioned above fields are absent under the Services tab. 
 
You add both goods and services as a line item.
 

Total goods (pic)

Displays/shows the total number of line items added under the Goods tab.
 

Total services (pic)

Displays/shows the total number of line items added under the Services tab.
 
Line item is a line structure that contains an item and item details. Line item is comprised of a number of fields, such as quantity, price, net amount, and so on.
 
Line item fields are almost identical for goods and services, except some fields pertain only to goods or services. 
 
To add a new line item, click the +Add new button above the table used for listing added line items.
 
If you add a line item, you have to fill in all required fields of this line item to be able to save the document. If you fail to fill in all required fields, you can also delete the line item to be able to save the document.
 
Line Item Fields
 

Field

Used for

Good/Service

Select a sales item (good or service) from the list of previously created items or create a new one.

If you select an item from the list, certain item details will be provided automatically as the system will retrieve the relevant data from the respective item record, a base price list for the item and other related documents.

  • It is a required field. If you do not select an item, you will not be able to save the document.

Unit

A unit of measurement, whether it is a piece, a kilogram or a liter, etc.

  • A base unit of measurement specified for the item is provided automatically.
  • If several units of measurement are defined for the item forming the item's set of measurement units, you can select a unit from the set that is most suitable in a particular case. However, this unit will be used only for displaying quantities in the document, all inventory and accounting transactions will use the base unit of measurement into which the selected alternative unit will be converted according to the specified conversion ratio.
  • It is a required field. If you delete the unit and do not select an alternative one from the set, you will not be able to save the document. 

Available for sale

The total quantity of the item that is available for sale. It is the quantity of the item you currently have in stock in the selected warehouse and expect to receive from vendors excluding the reserved quantity.

  • If you select an alternative measurement unit for the item, the total quantity available for sale will be automatically updated. 
  • If you select an alternative warehouse, the total quantity available for sale will be automatically updated.
  • This quantity is provided automatically and you cannot override it.
  • The field is absent for services.

Quantity

A number of items you want to deliver. 

  • The quantity is defined for the selected unit of measurement.
  • Quantity to be delivered can exceed the number of items available for sale if you allow negative balances or sale of reserved items in My company settings.

Price

The price of one item defined for the selected unit of measurement. The price is set in the currency of the document.

  • The price is retrieved from a price list containing the most recent item price in the currency of the delivery. However, you can change this price if necessary. For more information about price lists, see Price List.
  • The price is either VAT inclusive or VAT exclusive depending on whether the Price includes VAT option is turned on or turned off. When you activate or deactivate this option, the price is recalculated.  

VAT

Select a VAT rate at which the item is to be charged VAT.  VAT rates displayed are filtered based on a country in which you have to charge VAT on the item. As a rule, it is a country where your company is based. 

  • VAT rates are retrieved from the VAT rate directory.
  • If you sell goods/services within the country of your registration (domestic supplies), the standard rate, reduced or exempt rate is suggested automatically depending on the selected item.
  • If you sell goods/services in other EU and non-EU countries (intra-community supplies or export), the selection of VAT rates suggested for use depends on the place of supply of your goods and services that is determined based on several factors. As a general rule, if you sell goods or services to customers outside the EU or to a VAT taxable person in another EU country, Export VAT rate is automatically set for all added goods and services. If you sell goods or services to a non-taxable person in another EU country, a domestic VAT rate is suggested for use, a relevant rate being determined according to the taxation rules applicable to domestic supplies.  
  • Also, Codejig ERP can determine the place of supply of telecommunications, broadcasting and electronic services and then suggest relevant VAT rates according to special cross-border VAT rules. If you provide the mentioned above services to a non-taxable person in another EU country, VAT rates applicable in a country of your customer are selected. However, you can change any of the autocompleted rates if necessary. 
  • It is a required field. If you delete the autocompleted rate and do not select an alternative one, you will not be able to save the document.
  • The field is unavailable if your company is not identified as a VAT payer by the system. For information how to set up your company as being registered for VAT and enable required VAT-related functionality, see VAT Registration. 

Net amount

It is the computed field.

Net amount - the total price of the goods or services excluding VAT charges.

  • If the price of one item is VAT exclusive, the calculations are the following:

Price x Quantity

  • If the price of one item includes VAT, the net amount is calculated in the following way:

Total amount / (1 + VAT rate / 100 %)

  • The field is unavailable if your company is not identified as a VAT payer by the system. 

VAT amount

It is the computed field.

VAT amount - VAT contained in a total amount which is inclusive of VAT.

  • If the price of one item is VAT exclusive, the calculations are the following:

Net amount x (VAT rate / 100 %)

  • If the price of one item includes VAT, the VAT amount is calculated in the following way: 

Total amount - Net amount 

  • The field is unavailable if your company is not identified as a VAT payer by the system. 

Total amount

It is the computed field.

Total amount -  the total amount of line item goods or services in the specified currency including VAT.

  • If the price of one item is VAT exclusive, the calculations are the following:

Net amount + VAT amount

  • If the price of one item includes VAT, the total amount is calculated in the following way:

Price for one item including VAT x Quantity 
 
Note: Although net amount, VAT amount and total amount are computed automatically based on the price and quantity indicated as well as on the selected VAT rate, you can override the computed values triggering the update of other values.
 
Advanced line item fields
 
Not all line item fields are displayed by default. To enable such fields, you have to turn on the extended mode for line item by clicking the More button above the list of items.
On enabling the extended mode, the following fields appear:
 

Field

Used for

Description

Add a description of the sales item.

  • The field is autocompleted; item description, if provided, is retrieved from the item record. However, you can modify the description if necessary. 

Inventory Account

An inventory account in which the item was originally recorded. The inventory account is credited with the cost of the delivered quantity of goods that is calculated according to a default inventory valuation method selected in My company settings. It is a contra account to the Goods delivered account that is debited with the cost of the delivered quantity of goods. The Goods delivered account is specified in My company settings, under the Accounting tab. Later on, an invoice makes a credit entry to the Goods delivered account and records the respective amount to the COGS account.

  • The account is provided automatically based on an inventory account assigned to the item being retrieved from the item record created in the Item directory. However, you can change it if necessary.
  • It is a required field. If you delete the autocompleted account and do not select an alternative account of the same type, you will not be able to save the document.
  • The field is unavailable for services.

Income Account

An income account in which the net value of the item (service) is recorded as a credit, excluding the order discount amount offered for the item if any. It is a contra account to the Accrued income account that is debited with the net value of the item (service). The Accrued income account is specified in My company settings, under the Accounting tab. Later on, if basic of accounting for the company is set to Accrual basis, an invoice based on this delivery makes a credit entry to the Accrued income account and records the respective amount to the Receivables from customers account as a debit. However, if basis of accounting for the company is set to Income basis, the invoice based on this delivery doesn't result in any postings.

  • The income account is provided automatically being retrieved from the customer record created in the Company directory. In the customer record, an account for recording the revenue received from the sale of goods/services to the given customer has to be specified. This account is then copied to the delivery document. If no income account is selected for the customer, this account is fetched from the specific item record created in the Item directory. You can change the autocompleted income account if necessary.
  • It is a required field. If you delete the autocompleted account and do not select an alternative account of the same type, you will not be able to save the document.
  • The field is unavailable for goods.

In stock

The total quantity of the item stored in the selected warehouse as of the document date.

  • Quantity for sale can exceed the in stock quantity (even if the in stock quantity equals zero) if negative balances are allowed in the system. Otherwise, if you try to sell items that are not in stock, you will receive an error message while trying to post the document.   
  • If you select an alternative measurement unit for the item, the total quantity in stock will be automatically updated.
  • If you select an alternative warehouse,  the total quantity in stock will be automatically updated.
  • The field is unavailable for editing, you can only view the indicated amount being retrieved from the Inventory journal.
  • The field is absent for services.

Expected

Displays the quantity of the item that is expected to be received from a vendor in the future based on an open purchase order.

  • If you select an alternative measurement unit for the item, the expected quantity will be automatically updated.
  • If you select an alternative warehouse,  the expected quantity will be automatically updated.
  • The field is uneditable, you can only view the indicated amount being retrieved from the open purchase orders.
  • The field is absent for services.

Reserved

Displays the quantity of the item reserved by customers. The reserved quantity is deducted from the quantity of the item available for sale.

  • Reserved items are not available for sale unless you enable the sale of reserved items in My company settings. Then, a number of goods you offer for sale can exceed the number of items available for sale, and such accounting transaction will be accepted by the system.
  • If you select an alternative measurement unit for the item, the reserved quantity will be automatically updated.
  • If you select an alternative warehouse,the reserved quantity will be automatically updated. 
  • The field is uneditable, you can only view the indicated amount being retrieved from the open sales orders.
  • The field is absent for services.

Discount, %

Discount rate. A percent of an original price by which the item is discounted.

  • Discount rate specified for the given customer is provided automatically once you select the customer. However, you can change it if necessary. 
  • If you change the discount rate, values in the fields Discount amount, Net amount, VAT amount and Total amount will be recalculated and updated. 

Discount amount

Amount that is taken off of the item price. It is calculated according to the specified discount rate.

  • You can enter the discount amount manually. Then, values in the fields Discount rate, Net amount, VAT amount and Total amount will be automatically recalculated and updated. 

VAT rate, %

Displays VAT rate(in percentage) according to the chosen VAT type. The field is unavailable for editing and cannot be overridden.

  • The field is unavailable if your company is not identified as a VAT payer by the system. 
 
If you want to turn off the extended mode, click the Less button. After turning off the extended mode, advanced item details will persist.

Note: You can create your delivery based on a sales quotation or a sales order. Then, the system will copy all data from the sales quotation or sales order and transfer it to the delivery. As a result, all fields in the Items section of the delivery document, except the fields Inventory account and Income account, will be populated from the fields of the sales quotation/sales order. The enumerated fields will be auto-completed, accounts being retrieved from item records. For each good added, the inventory account will be automatically fetched from the respective item record, where it has been specified under the Accounting tab. For each service added, the income account will be provided similarly. Also, you can change the auto-completed values if necessary. 
However, if you decide to 1) deliver goods from a warehouse other than the one specified in the document to which the delivery refers or 2) deliver or provide less than the quantity of goods/services reserved, reservation on the quantity left will not be canceled. You can clear such reservations only with the aid of the Manual transaction document. 
More information