Managing internal use of inventory
Sometimes, our company organizes exhibitions to show off our finished goods products and our raw materials to our prospective customers or even to the public. In such exhibitions, the company takes a small amount of our existing raw material. As it takes the pieces of raw material from our warehouses, could we book this type of transaction as our advertising and/or promotion costs?
Another example that can be considered is where you have broken or damaged inventory—you would also need to book this transaction. This is just an example of the cases that are handled by warehouse staff, which could be solved by using the Internal Use Inventory feature. You can use this feature by accessing the Menu | Material Management | Internal Use Inventory window. This window contains two tabs: Internal Use and Internal Use Line.
In manual activities, the warehouse staff simply takes a piece of material or product out of the warehouse and notes this activity in their log...