Note: Depending on circumstances, the Internal Revenue Service (IRS) may require approval to change inventory cost method. Consult your local accountant or CPA for details. Sage 100 Customer Support cannot offer accounting advisory services.
The table below shows which cost is used when changing an items existing valuation method to a new valuation method. Tier Type: 1 = FIFO, 2 = LIFO, 3 = LOT/SERIAL
|
|
NEW |
|
OLD |
Valuation Method |
Standard Cost |
Average Cost |
FIFO |
LIFO |
Lot Number |
Serial Number |
|
Standard Cost |
N/A |
AVG |
AVG |
AVG |
3 |
3 |
|
Average Cost |
STD |
N/A |
AVG |
AVG |
3 |
3 |
|
FIFO |
STD |
AVG |
N/A |
2 |
3 |
3 |
|
LIFO |
STD |
AVG |
2 |
N/A |
3 |
3 |
|
Lot Number |
STD |
AVG |
1 |
1 |
N/A |
3 |
|
Serial Number |
STD |
AVG |
1 |
1 |
3 |
N/A |
DocLink: How to use the Inventory Valuation Change Utilities
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