We have a client who has been using GP since 2007. They want to change the valuation method from FIFO Perpetual to Average Perpetual. How will GP treat all the existing inventory after this change is made? Let's say I have 100 widget's in stock that came is as FIFO at $1.00 and I cut a PO for another 100 after making the change but these now come in at $0.50 and I sell 50 of them. Will the cost on the sale per $1.00 per widget or $0.75. What if I were to tell 150 of them. Will 100 go out at $100 and then the other 50 at $0.75. I need to explain the ramifications of this change to existing inventory before they push the button to change.
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