The Only Post Track Count Inventory Values to GL option should normally be disabled unless the finanical team has determined that no count product and labor costs should NOT increase the serialized item value.
This option is used to determine if NO Count items are excluded from
the inventory value in general ledger. In the example used above, the
following costs are combined into a serialized item.
$10.00 - original serialized item cost (recorded in the inventory asset G/L account)
$18.00 - Battery classified as Track Count (recorded in the asset G/L account)
$ 1.75 - Reflective Letters classified as Track Count (recorded in the asset G/L account)
$40.00 - in labor that is not recorded as inventory (not included in the inventory asset G/L)
$69.75 - total value of inventory serialized item after costs are added to item.
Since the total value of the item is greater than the total of the original item + track count parts, the inventory asset value increases when the Added Costs batch is processed.
No count items and labor do NOT increase the general ledger value of the serialized item. The COGS for the serialized item will only include the purchase cost and any added track count added costs.
The inventory value does not change when an added cost batch is processed if this option is enabled. The Only post Track Count Inventory Values to G/L option will have no affect on the totals if all the added costs are Track Count or other perpetual inventory items.
All added costs are included in the general ledger value of the serialized item. The COGS amount includes all costs.
Review Manufacturing > Creating a Batch > Separate Cost (G/L) and Cost (Pricing) Values for more details on this option in the manufacturing process.