On Thu, 2006-11-09 at 22:12 -0600, Oscar A. Valdez wrote: > El jue, 09-11-2006 a las 21:49 -0600, Jeff Vian escribió: > > On Thu, 2006-11-09 at 09:00 -0600, Oscar A. Valdez wrote: > > > We are a small power generator that purchases fuel and converts it into > > > electrical and heat energy for sale. > > > > > > I've looked at the manual's section on Inventory, and it doesn't seem > > > like I can have a fuel inventory and periodically consume it to produce > > > energy for immediate sale (can't be inventoried). That would seem like a > > > Job Costing or WIP functionality that doesn't seem to be there in > > > SQL-Ledger. > > > > > > Am I wrong? > > > > > Just a thought from a layman. IANAA > > > > Fuel used in operations is an expense item. You may buy it, and have > > some quantity on hand, but it is consumed as overhead in the production > > of energy. It should not be treated as inventory for this purpose. > > > > Energy can be treated as a service, since it is not tangible inventory. > > It can be sold by the unit, similar to service hours, and cannot be > > stored. Invoicing goes to AR. > > But what we do is transform fuel into electricity and heat. It's an > industrial transformation. So fuel is our raw material, and electricity > and heat our end products.
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