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  •     QAD Glossary

  • Outbound Logistics Charges Accrual
    The outbound logistics charges accrual process starts with a sales order (SO) containing the required information for the system to accrue the charges appropriately.
    The accrual happens during the SO shipment, and results in a logistics charge pending invoice.
    We will now review these steps in more detail.
    Sales Order Maintenance
    During sales order maintenance, the logistics charge code associated with the freight term and the default supplier, if any, are displayed. The logistics supplier can be changed.
    The same Logistics Accounting frames and fields are used in the following programs and their related shipping programs:
    Sales Order Maintenance (7.1.1)
    Sales Quote Maintenance (7.12.1)
    Pending Invoice Maintenance (7.13.1)
    RMA Maintenance (
    Distribution Order Workbench (12.17.13)
    Distribution Order Maintenance (12.17.14)
    Distribution Order Processing (12.17.21)
    See User Guide: QAD Sales for more information on sales orders.
    Logistics Accounting Details
    After you have finished entering order line items, the Logistics Accounting detail frame displays when:
    A freight terms code is specified on the order header.
    The freight terms code indicates an accrual level of shipment or line.
    A freight list is specified on at least one order line.
    In the trailer, the BOL field value is used as external reference on the pending invoice that is created during shipment.
    Sales Order Shipments
    Processing a discrete shipment in any of the following programs creates a pending invoice when the freight terms assigned to the order or line indicate an accrual level of shipment and a freight list is specified on at least one order line:
    Sales Order Shipments (7.9.15)
    Pending Invoice Maintenance (7.13.1)
    Distribution Order Processing (12.17.21) or Shipments (12.17.22)
    RMA Maintenance (, Shipments (, or Receipts (
    When a pending invoice is created in discrete shipment programs, the shipment ID number is used as the internal reference and the bill of lading (BOL) number is used as the external reference.
    Shipment ID
    If the NRM sequence code specified in Logistics Accounting Control is an internal sequence, leave this field blank to have the system assign a number. Otherwise, enter a sequence number. The system validates it against the Sales Order Shipment Sequence ID specified in Logistics Accounting Control.
    Processing shipments creates pending invoices for logistics charges and the corresponding GL transactions, and calculates tax on logistics charges.
    Sales Order Shippers
    During the confirmation process in Pre-Shipper/Shipper Confirm (7.9.5) or Pre-Shipper/Shipper Auto Confirm (7.9.7), a pending invoice is created and freight charges accrued based on the freight terms assigned to the first sales order attached to the shipper.
    Each sales order attached to the shipper must have the same freight terms code; otherwise, an error displays.
    Pending invoices created during confirmation use the shipper number as the internal reference and the carrier shipment reference from the shipper as the external reference.
    GL Effect
    During shipment, the system creates a GL transaction for the entire shipment or for each line, depending on the freight terms.
    A sales order shipment creates the following GL transactions:
    Debit the Sales Order Expense account for the logistics charge, product line, site, customer type, and channel.
    Credit Sales Order Accrual for the logistics charge, product line, site, and supplier type.