In Transit Transfers


Note: Below is a detailed explanation of the "In Transit Account" option when performing Stock Transfer which is useful for scenarios when goods will take some time to reach their destination warehouse. 


Stock transfer process can support intermediate state of stock departed from origin warehouse but not yet received in destination warehouse. This status is called “In Transit”


“Stock Sent” field specifies the date when stock has departed source warehouse. Movement of stock quantity in origin warehouse will have “Stock Sent” date. 


“Stock Received” field indicates the date when stock has been received in the destination warehouse. Movement of stock quantity in destination warehouse will have “Stock Received” date.


“In Transit Account” - This field is of ASSET class type and will hold stock value in it while goods are in transit.



Transactions generated for the process are as follows:


Stock departs origin warehouse:
Debit: “Stock In Transit”,

Credit: “Inventory” (account associated with stock being transferred)

Effective Date: “Stock Sent” date


In case if cost of goods being transferred changes after “Stock Sent” date, date of cost change will be used instead for every cost change grouped by date.


Stock is received into destination warehouse:
Debit: “Inventory” (account associated with stock being transferred)

Credit: “Stock In Transit”

Effective Date: “Stock Received” date


In case if cost of goods being transferred changes after “Stock Received” date, date of cost change will be used instead for every cost change grouped by date.


Note: Stock Transfer can be completed without the “In Transit” option ( “In Transit Account "is optional - user will still see both “Send Stock” and “Complete” actions available at the same time in draft stock transfer state), . If “In Transit Account” not specified, no transactions related to transit will be generated by DEAR.