How to Distribute Sales to General Ledger by Warehouse Location

Release Date: 03/20/18

Q - Is there a way to process sales that will let us categorize those sales by warehouse in the GL? In other words, is there a way to link a profit center to a warehouse? Would we have to set up the product type by location table for all product types and all warehouses?

A - You can either have one sales account as defined in A/R Setup, or sales account by Product Category/Location Account file. Therefore, if you wish to categorize sales by warehouse, you will need to set up every possible combination of Product Category/Location. The common mistake with this method is that users forget to set up the Product Category/Location account file when a new product category or location is added in the future.

The other possibility is for you to handle this as a general journal entry. That is to say, you don’t set up the Product Category/Location account file. So all sales go to the default sales account set up in A/R. At the end of the month, you can run the sales report to give you a breakdown total by location. Then you can make journal entry adjustments that will be reflected on your financial statement.


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