Hi Mike,

Here is a little explanation:

• • Fields to note in the STOJOU table which are displayed in the Stock Transaction, Transaction by Date and AverCost evol/ movement inquires:

• • • Order price: PRIORD.

• • • • The average cost and last cost displayed are based on the order price

• • • Order amount Valued price: AMTORD

• • • Valued price: PRIVAL

• • • Movement value: AMTVAL

• • Other STOJOU Fields

• • • Order variance VARORD

• • • Movement variance VARVAL

• • • Variance not absorbed AMTDEV

• • If we have more than one method of valuation:

• • • Valued price with the 1^st method in STOJOU file: PRIVAL

• • • Valued price with the 2^nd method in STOJOU file: PRIVAL2 (linked to the activity code VLT)

• • • Movement value with the 1^st method in STOJOU file: AMTVAL

• • • Movement value with the 2^nd method in STOJOU file: AMTVAL2 (linked to the activity code VLT)

• • The VARVAL field

• • • The VARVAL field corresponds to the movement variance.

• • • This field contains variance between the product stock cost and the invoice cost

In an average cost environment what would cause values to get into the AMTDEV field?    Would this create an out of balance condition between stock valuation and the GL?    We seem to be getting this with work orders stated near month end and closed early in the subsequent month, but it is not consistent.    

Hi paulsita 

Having AMTDEV (variance non absorbed) is a normal situation even when using Average cost. If you are in a Just In Time environment it will happen frequently.
For instance, you are producing a finished good product valued with AVC. The AVC amount base is feed with the work order provisional cost (Without knowing the actual yield only provisional cost is know). If, the actual cost of production (calculated when running the WIP finalization function) is not excatly matching the work order provisional cost used upon the work order receipt, then the system will update the stock value (creating a adjustment of the stock movement value). But if the stock is already sold and gone, then the system will capture the variance in AMTDEV because there is no stock left to value. 
This AMTDEV amount can be posted in your GL but not in the stock account but in a P&L account for instance as this represent the error of your stock value. So the GL will remain balanced because both stock value and COGS will be based on the work order provisional cost. The risk is that your margin calculation is not exact, this is why it's interesting to post AMTDEV to be able to use in P&L reporting.
If you want to know more on the various stock mecanism especially about the stock movement adjustement I mentioned, I recommend this section of the on-line help: online-help.sageerpx3.com/.../

Hi Julien,   This is very helpful.   I am still trying to determine why our setup (this is Version 6.5 soon to be 12) is causing the stock valuation to be out of balance with the GL when these situations occur, and if there is setup that can address this or we have to create our own journal entry when this occurs.   We have control with the auto journal to post to whatever accounts we prefer, but no control over the stock valuation tables, i.e. average cost per item.