Meaning of "Offsetting entries for stock postings"
Hello SAP Guru's,
What is meant by "Offsetting entries for stock postings"? How is it different from "stock postings"? Can you please give me an example?
ravindranath durgam replied
Offsetting entries are nothing but posting entry for an corresponding Debit/Credit entry
when you do PO for Stock material , during GR system will
Debit the Stock account for the value to be paid the Vendor
Credit Gr/Ir ( temporay clearing account and afterwrds tot he vendor account )
During Inital Stock Upload ( ie when you migrate from legacy system to SAP system , Stock of that materail as to be uploaded in to the sap system ), system will
Debit the Stock account with the value of the qty
( in this case you need not give anything to the vendor but Credit Entry to be posted as per the Fianaacial norms )
Hence Credit entry will be posted to an Off setting account