Nav2013 Enus Intro 05

MODULE 5: MASTER DATA FOR THE SALES AND
PURCHASE PROCESS
Module Overview
The financial core of a company is its chart of accounts, a list of the general ledger
(G/L) accounts where G/L entries accumulate during a fiscal period. General
Ledger entries are automatically created through different business documents,
such as purchase invoices, as a result of business transactions. Before these
documents can be used correctly, different master data - such as customers,
vendors, and items - must be created and maintained.
As one of the central elements of a financial management system, the purpose

and functions of the chart of accounts, in addition to the use of master data, is
prerequisite knowledge for anyone training to work with Microsoft Dynamics®
NAV 2013 at any level.
Objectives
The objectives are:
• Explain how to use G/L account cards.

• Outline the purpose and functions of the Chart of Accounts page.
• Explain how to use customer cards.
• Explain how to use vendor cards.
• Explain how to use item cards.
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Introduction in Microsoft Dynamics® NAV 2013
G/L Account Cards

Each line in the chart of accounts is represented by a G/L account card where you
define how the related G/L entries for that account are managed.
Note: For running companies where a posting setup is in place and a chart of
accounts already exists, you might have to create additional G/L accounts
occasionally, for example, for transactions from a new type of revenue. To learn
how to create new G/L accounts, refer to the Finance Essentials in Microsoft
Dynamics NAV 2013 course.
This lesson introduces the most important fields and buttons on the G/L Account
Card page.
You can reach G/L account cards from the Chart of Accounts page. This is
explained in the next lesson.
To open a G/L account card, follow these steps:
1. On the navigation pane, click Departments.

2. Click Financial Management > General Ledger > Chart of
Accounts.
3. Select the desired G/L account, and then click Edit or View.
FIGURE 5.1: G/L ACCOUNT CARD PAGE – G/L ACCOUNT 1110
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Module 5: Master Data for the Sales and Purchase Process
General FastTabs
The General FastTab contains various fields that define what and how G/L entries
are handled in the G/L account.
Field Description
No. The number of the G/L account. Notice that
number series are not used for G/L accounts so this
number is entered manually.
Name A short description of the G/L account.
Income/Balance Indicates whether the account is an income or

balance sheet account. This field is important in
determining what accounts are closed at the fiscal
year end.
Debit/Credit The type of entries that are usually posted to this

account. The selection made does not restrict the
type of transactions posted to the account. It only
enhances the reporting capabilities.
Account Type The purpose of the account. The options are as

follows:
• Posting - Used to accumulate transactions.
• Heading - Used for descriptive purposes only.
• Total - Used to total a range of accounts, as
specified in the Totaling field. (This option is
useful for totaling groups of accounts that are
not in the same classification, such as gross
income.)
• Begin-Total - Used to mark the beginning of
an account range.
• End-Total - Used to mark the end of the range.
Each End-Total account has an account range
in the Totaling field. The range can be
calculated or entered manually.
Note: Entries can be posted only on a G/L

account of account type Posting.
Totaling Determines which accounts go into a Total or an

End-Total account type.

Field Description
No. of Blank Lines Determines the number of blank lines before the
account is displayed in a report.
New Page A check box that determines whether a new report

page is printed after the account is displayed in the
report.
Search Name Search field for finding a particular account by

using text when the account number cannot be
recalled.
Balance The current balance of the account. Drill down from

this field to access the General Ledger Entries
page.
Reconciliation A check box that determines whether the G/L

Account account is included in the Reconciliation page in
the general journals. The Reconciliation page is
used before posting to review the effect of posting
the accounts in the journal.
Automatic Ext. A check box that, when selected, automatically

Texts adds extended text set up on the account to sales
and purchase documents in the Description field. If
not selected, extended text can still be set up on
the account and added to documents manually. To
create the extended text, click Extended Texts on
the Navigate tab in the ribbon.
Direct Posting A check box that, when selected, indicates whether

posting is allowed directly into this account from a
journal line. This check box is automatically selected
when new accounts are created.
Note: Generally, for accounts that have a

subledger (for example, customer, vendor, bank
account, item), the Direct Posting check box is
cleared.
Blocked A check box that, when selected, prevents entries

from posting to this account. G/L accounts can be
blocked and reopened as needed.
Last Date System-generated field that displays the date when

Modified the G/L account was last modified.

Posting FastTabs
The Posting FastTab contains the fields that determine how the G/L and VAT
entries are recorded.
The following table briefly describes the purpose of each field.
Field Description
Gen. Posting Type Defines whether the account is used only with a
sale or purchase transaction or with both types of
transactions. This field is used together with the
VAT Bus. Posting Group and VAT Prod. Posting
Group fields to find the account that the program
posts VAT to. It is only filled in for revenue and
expense accounts where VAT is involved.
Gen. Bus. Posting Identifies the default general business posting

Group group for the account. This field indicates whom
you sell to or buy from. It is used with the Gen.
Prod. Posting Group and Gen. Posting Type
fields to find the G/L accounts to post to for sales,
purchases, discount amounts, cost of goods sold
(COGS), and inventory adjustments.
Gen Prod. Posting Identifies the default general product posting

Group group for the account. This field indicates the type
of item sold or purchased. It is used with the Gen.
Bus. Posting Group and Gen. Posting Type fields
to find the G/L accounts to post to for sales,
purchases, discount amounts, COGS, and inventory
adjustments.
VAT Bus. Posting Identifies the default VAT business posting group
Group for the account. This field is used with the VAT
Prod. Posting Group and Gen. Posting Type
fields to determine VAT percent and VAT
calculation type and to find the G/L accounts where
the program posts VAT.
VAT Prod. Posting Identifies the default VAT product posting group
Group for the account. This field is used with the VAT Bus.
Posting Group and Gen. Posting Type fields to
determine VAT percent and VAT calculation type
and to find the G/L accounts where the program
posts VAT.

Field Description
Default IC Partner Identifies the default intercompany G/L account
G/L Acc. No. number for this G/L account. When you enter this
G/L account in the intercompany general journal,
the IC G/L account specified in this field is used as
the default balancing account number.
After the posting types and the posting group codes are assigned to a G/L
account, these codes are automatically inserted in a journal, sales, or purchase line
when the G/L account is selected.
Actions Tab
On the Actions tab in the ribbon, you can access the Apply Template function.
This function is available when master templates are prepared with RapidStart
Services.
Note: Setting up a company by using RapidStart Services is covered in the

module "Rapid Start" of the course Application Setup in Microsoft Dynamics NAV
2013.
With master templates for G/L accounts you can do the following:
• Create multiple default G/L account setups for accounts that are
frequently created, such as expenses.
• Use these templates as a basis when you create accounts of this type.
• Eliminate repetitive data entry for similar account creation.
When a new G/L account is created in the G/L Account Card page, the Indent
Chart of Accounts function can be run.
Note: The Apply Template function is also available for the other master
data discussed in this module: customers, vendors and items.

Navigate Tab
The Navigate tab in the ribbon contains the options shown in the following table.
Account Group
The Account Group of the Navigate tab is used to enter and review account
related information.
Option Description
Ledger Entries Displays all ledger entries for the account.
(CTRL+F7)
Comments Displays or provides a field in which you can enter

comments that relate to the account.
Dimensions Displays or provides a field in which you can enter

(CTRL+SHIFT+D) default dimensions for the account.
Extended Texts Displays or provides a field in which you can enter

extended text for the account.
Receivables- Provides a summary of the following:

Payables • Expected net operational cash flow from
customers and vendors over time.
• Open customer and vendor ledger entries
sorted by their Due Date instead of Posting
Date.
View this summary by one of the following:
• Period, such as daily, monthly, or quarterly.
• Expected cash flow movement for a period by
clicking the Net Change option.
• Expected net balance of outstanding customer
and vendor balances at any date by clicking the
Balance at Date option.
Where-Used List Displays a list of tables where this G/L account is

used.

Balance Group
The Balance group of the Navigate tab displays information about the balances
and transaction amounts for one or all G/L accounts. Each page accessed from this
tab contains filters to help you view the information more specifically.
Option Description
G/L Account Displays the balance or net change for the G/L
Balance account over time.
G/L Balance Displays the balance or net change for all G/L
accounts for a specific time period.
G/L Balance by Displays balance or net change information for all

Dimensions accounts. The information displayed in columns
and lines can be set to one of the following views:
• G/L account
• Period
• Global Dimensions 1 and 2
Chart of Accounts Page

The Chart of Accounts page contains the same fields as those in the G/L
Account Card page - only displayed in table format. In addition to the
information on the individual account cards, the Chart of Accounts page displays
current net change and balance figures for each G/L account. In this manner, the
page provides continuous and direct insight into the status of company finances.
To view the chart of accounts, follow these steps:
1. On the navigation pane, click Departments.

2. Click Financial Management > General Ledger > Chart of
Accounts.

FIGURE 5.2: CHART OF ACCOUNTS PAGE
The ribbon on the Chart of Accounts page resembles the ribbon on the G/L
Account Card page, but with slightly different options.
Actions Tab
The Actions tab contains one function: Indent Chart of Accounts. This function
is used to perform the following:
• Format fields for Begin-Total and End-Total account types.

• Indent accounts according to a defined hierarchy.
Establish the hierarchy by using the account types Begin-Total and End-Total.
When the Indent Chart of Accounts function is executed, the Totaling field of
End-Total accounts is updated with the range of account numbers in the related
Begin-Total and End-Total section.
It is considered best practices to run the Indent Chart of Accounts function to

indent it according to a hierarchy and recalculate the totals every time that you
create a new G/L account.

Navigate Tab
The Navigate tab contains the options shown in the following table.
Account Group
Options Description
Dimensions - Single Functions exactly like the Dimensions
function on the account card.
Dimensions - Multiple Assigns the same default dimensions to

multiple accounts.
Because the Chart of Accounts page is a
list of accounts, you can assign the same
default dimensions to several accounts by
selecting the relevant account lines. This
reduces the entry time that you need to set
up default dimensions.
Ledger Entries, Functions exactly like similarly named

Comments, Extended options described in the "G/L Account
Texts, Receivables- Cards" lesson.
Payables, Where-Used
List
Balance Group
Options Description
G/L Account Balance, G/L Functions exactly like similarly named
Balance, G/L Balance by options described in the "G/L Account
Dimension Cards" lesson.
G/L Account Displays the actual and budgeted balance

Balance/Budget or net change for the G/L account over
time.
G/L Balance/Budget Displays the actual and budgeted balances

or net change for all G/L accounts for a
specific time period.
Chart of Accounts Displays the chart of accounts with

Overview different levels of detail. Use the Expand
and Collapse feature to view only header
and footer accounts or all the accounts in
between.
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Customer Cards
At first, the customers are migrated from pre-existing databases, by using
RapidStart Services. However, new customers must also be created. Depending on
the different application areas and functions therein that a company is using,
different fields of the customer card will become important. This lesson provides
an introduction to the most important fields on the Customer Card page, that is,
those fields necessary for a simple sales process.
Demonstration: Create a Customer
Scenario: As the order processor at CRONUS International Ltd., you are

responsible for setting up new customers. A new customer, Paint Outlet, has
contacted your company and requested to buy a special paint color, Sunflower
Yellow. You must create a card for the customer in the database so that a quote
and sale process can start.
To fill in the minimum required fields, follow these steps:
Demonstration Steps
1. Create the new customer in the database.

a. On the navigation pane, click Home and then click Customers.
b. Click New to open a new Customer Card page.
c. Expand the General FastTab.
d. Press ENTER to automatically fill in the next number of the
default number series for customers in the No. field.
e. In the Name field, type "Paint Outlet".
f. In the Address field, type "21 Bahnhofstrasse".
g. In the Post Code field, type "DE-27624".
h. In the City field, type "Bederkesa”.
Note: Notice that the City field did not automatically populate with the city
name. This is because the Post Code field lets users enter a post code that does not
have an assigned city. In this case, users must manually type the city name.
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i. In the Country/Region Code field, enter DE.
j. In the Contact field, enter Martin Illum Lotz.
FIGURE 5.3: CUSTOMER CARD PAGE – GENERAL FASTTAB

k. Expand the Invoicing FastTab.
l. Click the drop-down arrow in the Gen. Bus. Posting Group field
and select EU. The business posting group specifies who is sold
to, and will, in combination with the product posting group
(determined by the item on the sales document), determine the
income statement account to post to.
m. Click the drop-down arrow in the VAT Bus. Posting Group field,
and select EU. In combination with the VAT product posting
group, the VAT business posting group will determine how VAT is
calculated and on which account it is posted.
n. Click the drop-down arrow in the Customer Posting Group field,
and select EU. The customer posting group maps the accounts
receivable account, payment discount accounts, invoice and
application rounding accounts, and interest and fee accounts that
relate to customers.

FIGURE 5.4: CUSTOMER CARD PAGE – INVOICING FASTTAB

o. Expand the Payments FastTab.
p. In the Application Method field, leave the default of Manual.
q. Click the drop-down arrow of the Payment Terms Code field,
and select 7 DAYS.
FIGURE 5.5: CUSTOMER CARD PAGE – PAYMENTS FASTTAB

r. Expand the Foreign Trade FastTab.

s. Click the drop-down arrow of the Currency Code field, and select
EUR.
FIGURE 5.6: CUSTOMER CARD PAGE – FOREIGN TRADE FASTTAB

t. The Shipping FastTab must be filled only if you have special
needs for warehouse location or shipping method.
u. Click OK to close the Customer Card page.
The new customer, Paint outlet, is now created and ready for business.
Note: You do not have to look up and select data from the setup pages. If you
know the value to be filled in, you can type it directly.
Vendor Cards
At first, the vendors are migrated from pre-existing databases, by using RapidStart
Services. However, new vendors must also be created. Depending on the different
application areas and functions therein that a company is using, different fields of
the vendor card will become important. This lesson provides an introduction to
the most important fields on the Vendor Card page, that is, those fields necessary
for a simple purchase process.

Demonstration: Create a Vendor
Scenario: As the purchasing agent at CRONUS International Ltd., you are

responsible for setting up new vendors. A new customer has asked for a special
paint that the company does not sell. You have to add a new vendor to the
database from whom you can purchase the color Sunflower Yellow. (This new item
will be created in the next lesson of this module.)
Demonstration Steps
1. Create the new vendor in the database.

a. On the navigation pane, click Departments.
b. Click Purchase > Planning > Vendors.
c. Click New to open a new Vendor Card page.
d. Expand the General FastTab.
e. Press ENTER to automatically fill in the next number of the
default number series for vendors in the No. field.
f. In the Name field, type "XY Paint Supply".
g. In the Address field, type "200 Bay Drive".
h. In the Post Code field, type "NL-1009 AG".
Note: Notice that the city field is now filled with Amsterdam. A combination
of post code and city is predefined in the system so that you can type (or lookup
and select) either in the Post Code or City field, and the other field is then filled in
automatically.
i. In the Country/Region field, type "NL".

j. In the Contact field, type "Laura Owen".
Note: A code is automatically set up in the Primary Contact No. field.

FIGURE 5.7: VENDOR CARD PAGE – GENERAL FASTTAB

k. Expand the Invoicing FastTab.
l. Click the drop-down arrow in the Gen. Bus. Posting Group field,
and select EU.
The business posting group specifies who is sold from, and will, in combination
with the product posting group (determined by the item on the sales document),
determine the income statement account to post to.
m. Click the drop-down arrow in the VAT Bus. Posting Group field,
and select EU. In combination with the VAT product posting
group, the VAT business posting group will determine how VAT is
calculated and on which account it is posted.
n. Click the drop-down arrow in the Vendor Posting Group field,
and select EU. The vendor posting group maps the accounts
payable account, payment discount accounts, invoice and
application rounding accounts, and interest and fee accounts that
relate to vendors.
o. Expand the Payments FastTab.

p. In the Application Method field, leave the default of Manual.
This is where you select how the program applies entries for this
vendor. Manual means that the program applies payments only if
a document is specified. The other option, Apply to Oldest,
means that if a document is not specified for the payment to be
applied to, the program applies the payment to the oldest of the
vendor’s open entries.
q. Click the drop-down arrow in the Payment Terms Code field,
and select 7 DAYS. The payment terms code, combined with the
document date of a purchase document, determines when the
vendor expects payment.
r. The Receiving and Foreign Trade FastTabs must be filled only if
you have special needs for warehouse location or shipping
method, or if this vendor has a currency or language different
than your company.
s. Click OK to close the Vendor Card page.
The new vendor, XY Paint Supply, is now created and ready for business.

Lab 5.1: Create a New Office Furniture Vendor

Scenario
Your company is preparing to resell item 70062, Antwerp Conference Chairs.

Create a new vendor with the following information:
• Lewis Home Furniture XY, Ltd.
89 Radcroft Road
GB-IB7 7VN Gainsborough
• Phone number: 23159799

• Contact person: Katie Jordan
• Payment must be completed within 1 month, but a payment discount
is given when paid within 8 days.
• Payment is performed through checks.
• All items sold from this vendor will be delivered in the BLUE
warehouse.
• All items are delivered according to the CIF (Cost, Insurance, and
Freight) shipment method .
High Level Steps

1. Create a new vendor card.
2. Fill in the General FastTab.
3. Fill in the Invoicing FastTab.
4. Fill in the Payments FastTab.
5. Fill in the Receiving FastTab.
Detailed Steps
1. Create a new vendor card.
a. On the navigation pane, click Departments.
b. Click Purchase > Planning > Vendors.
c. Click New to create a new Vendor Card page.

a. Expand the General FastTab.
b. Press ENTER so that the No. field is automatically populated.
c. In the Name field, type "Lewis Home Furniture XY, LTD".
d. In the Address field, type "89 Radcroft Road".
e. In the Post Code field, type "GB-IB7 7VN".
f. In the City field, enter Gainsborough.

g. In the Country/Region Code field, enter GB.
h. In the Phone No. field, type "23159799".
i. In the Contact field, type "Katie Jordan".
3. Fill in the Invoicing FastTab.

a. Expand the Invoicing FastTabs.
b. If you receive a system message that states that there are
duplicate records, click Yes.
c. In the Gen. Bus. Posting Group field, enter NATIONAL.
d. In the VAT Bus. Posting Group field, enter NATIONAL.
e. In the Vendor Posting Group field, enter DOMESTIC.
4. Fill in the Payments FastTab.

a. Expand the Payments FastTab.
b. In the Application Method field, leave the default of Manual.
c. In the Payment Terms Code field, select 1M(8D).
d. In the Payment Method Code field, select CHECK.
5. Fill in the Receiving FastTab.

a. Expand the Receiving FastTab.
b. In the Location Code field, enter BLUE.
c. In the Shipment Method Code field, enter CIF.
d. Click OK to close the Vendor Card page.

Item Cards
Before buying and selling items, you must set up information and policies that the
program uses in item transactions. All this item-specific information is entered and
maintained in one central place: the item card.
When you create document lines for a specific item, the relevant information from
the item card is entered in most of the fields on the lines and the line amount is
calculated according to the quantity you enter.
To open the Item Card page, follow these steps:
1. On the navigation pane, click Home and then click Items.

2. Click New to open a new Item Card page.
When you set up a new item on an item card, there are fields that must always be
filled in, fields that can be filled in as needed, and fields in which you cannot enter
anything because they are maintained by the program.
The tables in the following topics explain all the fields on each item card FastTab
to give you direction on how to fill in the fields. The following codes in the Fill In
column indicate whether the field must be filled in:
man = Mandatory
opt = Optional
aut = Automatic
General FastTab
The following table explains every field on the General FastTab and gives
directions on how to fill it in.
Field Fill in Instruction

No. man The program is predefined
with automatic numbering
using generic number series.
You should use this predefined
setup.
Description opt Enter the name of the item.

Base Unit of man Drill-down to the Item Units
Measure of Measure page and select
the unit type in which you
want to keep the item. You
may have to create a base unit
of measure if what you want is
not included on the default list.
Assembly BOM aut This field indicates if the item

has the function of a sales bill
of material (BOM).
Note: The assembly

BOM is not related to the
production BOM.
For detailed information on

the sales BOM, refer to the
course Trade in Microsoft
Dynamics NAV 2013.
Shelf No. opt Enter a text value to name the

place in inventory where you
keep the item. However, this
field is not dynamically
updated by the system. The
shelf number is displayed in
the Picking List report.
Automatic Ext. opt Select this field to make sure

Text that any extended text will be
added automatically on sales
or purchase documents for this
item.

Created from aut This field indicates that the
Nonstock Item item card was originally a
nonstock item.
Note: For more

information about nonstock
items, refer to the course
Trade in Microsoft Dynamics
NAV 2013.
Item Category opt Look up and select from the

Code predefined codes (or define
new codes). Item category
codes consist of a combination
of posting groups (the three
fields in the upper-right corner
of the Invoicing FastTabs).
When you use an item
category code, you do not
have to enter posting groups
every time that you set up an
item card.
Product Group opt Enter the name of a product

Code group to indicate the group of
product to which this item
belongs, for example, paint,
tools, and batteries.
Search opt The item name that you wrote

Description in the Description field is
entered here as a default.
However, you can change it if
you want to use a different
name when you search for the
item.
Inventory aut This field shows how many

units (in the base unit of
measure) of the item are on
inventory.
Qty. on Purch. aut This field shows how many

Order units are on purchase orders
but are not yet received.

Qty. on Sales aut This field shows how many
Order units are on sales orders but
are not yet shipped.
Blocked opt Select this field to prevent the

program from posting
transactions with this item.
Last Date aut This field is filled in

Modified automatically with the date
that a change was last made to
any information on the item
card.
Invoicing FastTab
The Invoicing FastTab holds various figures and options that relate to cost, price,
and posting of the item.
FIGURE 5.8: ITEM CARD 70000 – INVOICING FASTTAB

The following table explains every field on the Invoicing FastTab and gives

Costing Method man Select the way that the item's
cost flow is managed.
The most common method is
FIFO, which means First-in-
First-out. With this method,
the items that were purchased
first are always sold first. The
FIFO costing method values
the inventory decrease by
using the value of the first
inventory increase. The
costing method determines
how costs are calculated and
how inventory is valued.
Other options are LIFO,
specific, average, and
standard.
Cost is adjusted aut Select this check box to

indicate if the item's unit cost
is adjusted for different unit
costs between inbound and
outbound item transactions
over time.
Cost is Posted to aut This status field relates to the

G/L concept of cost reconciliation.
Standard Cost opt For items where the selected

Costing Method is Standard,
enter the manually calculated
standard cost.

Unit Cost aut When you create a new item,
enter the cost for each unit
that you expect to pay for the
item. Later, the program
updates the field so that it
contains the item's current
(possibly adjusted) cost. This
field always reflects the most
recent direct unit cost of the
item on inbound transactions
and related outbound
transactions.
Overhead Rate man Enter an amount to cover the

indirect costs for the item.
Indirect Cost % man Enter a percentage that

corresponds to the indirect
costs (freight and warehouse
handling, for example)
associated with the purchase
of the item.
Last Direct Cost aut/opt When you create a new item,

enter the cost for each unit
that you expect to pay for the
item. The value is then
automatically inserted in, for
example, the Direct Unit
Cost Excl. VAT field on a new
purchase line.

Price/Profit man Select one of the profit
Calculation calculation options:
Profit = Price - Cost: If you
have fixed unit prices, select
this option. Profit is calculated
as the difference between the
unit price and the unit cost.
Price = Cost + Profit: If you
price your resources
according to a certain profit
margin, select this option.
Price is calculated by adding
the profit to the unit cost.
Profit is calculated from the
unit price with the profit
percentage you enter.
No Relationship: Select this
feature if you do not want to
use the automatic profit
calculation features.
Profit % opt/man Depending on your choice in

the Price/Profit Calculation
field, you can enter a
percentage (and the program
calculates the unit price). Or,
you can see the percentage
the program has calculated:
Profit% = 1 - (Unit Cost : Unit
Price) x 100.

Unit Price opt/man Depending on the option that
you selected in the
Price/Profit Calculation
field, you can enter a
percentage (and the program
calculates the Profit %). Or,
you can see the percentage
the program has calculated:
Unit Price = Unit Cost : (1 -
Profit).
The value in this field is
carried to sales lines as the
Unit Price Excl. VAT field.
However, you can always
overwrite it if you want to sell
at another price.
Gen. Prod. man Unless you use an item

Posting Group category code, you must look
up from this field and select a
posting group from the
predefined posting groups.
When you post transactions
that involve this item, the
program uses this code in
combination with a general
business posting group code
in the General Posting Setup
page to determine the
income statement account to
post to.
VAT Prod. man Unless you use an item

Posting Group category code, you must look
When you post transactions
that involve this item, the
program uses this code in
combination with a VAT
business posting group code
in the VAT Posting Setup
page to determine VAT
calculation and which VAT
account to post to.

Inventory Posting man Unless you use an item
Group category code, you must look
Inventory posting groups
specify the type of inventory
and are then combined with
location codes in the
Inventory Posting Setup
page. Each combination is
then mapped to the inventory
accounts, WIP account, and
other variance accounts that
relate to inventory in the
chart of accounts.
Net Invoiced Qty. aut This field shows the quantity

of invoiced purchases minus
the quantity of invoiced sales.
Allow Invoice Disc. opt Select this check box if you

want the program to allow an
invoice discount when the
item is sold.
Item Discount opt This field relates to the Sales

Group Line Pricing functionality.
Note: For detailed

information, refer to the
course Trade in Microsoft
Dynamics NAV 2013.

Sales Unit of aut/opt This field contains the unit of
Measure measure code the program
must use when you sell the
item. It is automatically filled
in when you fill in the Base
Unit of Measure field.
Change this field only if you
sell the item in units that
differ from the code in the
Base Unit of Measure field.
Note: If you do not use

the base unit of measure, or
if you delete the sales unit of
measure on the item card,
the Unit of Measure Code
field will not be filled in on
the sales line.
Replenishment FastTab
The Replenishment FastTab holds information that the system uses when
supplying items, whether by purchase or production.
Note: For detailed information on most of the fields on this tab, refer to the
Manufacturing I in Microsoft Dynamics NAV 2013 course.

FIGURE 5.9: ITEM CARD 10000 – REPLENISHMENT FASTTAB
The following table explains every field on the Replenishment FastTab and gives

Replenishment System man Select whether your
standard way of supplying
the item is to buy it
(Purchase), produce it
(Prod. Order), or assemble
it (Assembly).
Vendor No. opt For purchased items, select

a default supplier of the
item. That vendor is then
suggested when planning
for the item.
Vendor Item No. opt For purchased items, select

the vendor's own item
identification (if different
from yours).

Purchase Unit of opt This field contains the unit
Measure of measure code that the
program must use when
you purchase the item. It is
automatically filled in
when you fill in the Base
Unit of Measure field.
Change this field only if
you purchase the item in
units that differ from the
code in the Base Unit of
Measure field.
Note: If you do not

use the base unit of
measure, or if you delete
the purchase unit of
measure on the item card,
the Unit of Measure
Code field will not be
filled in on the purchase
line.
Lead Time Calculation opt Enter a date formula in the

Lead Time Calculation
field to specify the time
that is required to
replenish this purchased
item, such as 1W. The
program uses this field in
date calculations as
follows:
Order Date + Default
Safety Lead Time + Lead
Time Calculation =
Planned Receipt Date.

Manufacturing Policy man The available options are
Make-to-Stock and Make-
to-Order.
Select, for example, Make-
to-Order to have the
program consider all BOM
levels during planning.
Note: If both the

parent item and its
subassemblies use Make-
to-Order, the planning
logic will create a
production order with
subassembly production
order lines indented under
the parent's order line.
Routing No. opt Look up and select a

routing to govern the
item's manufacturing
process. A specific routing
must be set up and
certified before it can be
used for an item card.
Production BOM opt Look up and select a

production BOM to govern
the product structure of
the item. A specific
production BOM must be
set up and certified before
it can be used for an item
card.

Flushing Method opt Select whether
consumption of this item
in production must be
calculated and posted
manually, by selecting
Manual, or automatically,
by selecting one of the
following:
· Forward - the program
automatically calculates
and posts consumption
when the production order
is released.
· Backward - the program
automatically calculates
and posts consumption
when the released
production order is
finished.
Scrap % opt Specify the percentage of

the item that you expect
to be scrapped in the
production process. The
program uses this
percentage when it
calculates unit prices and
net requirements.
Lot Size opt Specify how many units of

the item are usually
produced in one
production lot (but you
can still create orders of a
different quantity). The
program uses this number
to calculate the item's
standard cost and to
distribute the fixed costs of
manufacturing the lot.
Assembly Policy opt Specify which default

order flow is used to
supply this assembly item.

Planning FastTab
The Planning FastTab holds information that is used by the automatic materials
requirement planning (MRP) system.
FIGURE 5.10: ITEM CARD 10000 – PLANNING FASTTAB

The following table explains some fields on the Planning FastTab and gives

Reordering man – if you use Select the planning method to be
Policy planning used by the MRP engine.
opt – if you do not
use planning
Reserve man Select whether the program will allow

reservation for this item. The option
that you select here is carried to sales
lines for the item and will override a
reservation option on the sales header
(carried from the customer card).
However, if you select Optional in this
field and you enter the item on a sales
line where the sales header contains
Always, the sales line will be assigned
the option Always.
Order man Select whether the program must

Tracking create order tracking links between
Policy matching supply and demand.
Available options are Tracking Only,
Tracking & Action Msg., and None.
Select Tracking Only to have the
program create order-tracking entries
in two circumstances:
• Dynamically, when it creates any
order that can be matched by an
existing order directly.
• When it creates a supply order
specifically for the demand.
Select None if the program does not
have to create order-tracking entries
at all.
Stockkeeping aut This field is filled in if the item card

Unit Exists has one or more corresponding stock-
keeping units (SKUs) for different
locations.

Critical opt Select this check box to indicate that
the item must be included in the
available-to-promise (ATP)
calculations of its parent item.
Foreign Trade FastTab
The Foreign Trade FastTab holds information that relates to a company's trade
with other countries or regions.
FIGURE 5.11: ITEM CARD 1896-S – FOREIGN TRADE FASTTAB

The following table explains the fields on the Foreign Trade FastTab and gives

Tariff No. opt Enter a code for the item's
tariff number. This number is
required if you do Intrastat
reporting when you make out
export and other statements.
Note: For detailed

information about Intrastat,
refer to the Finance Advanced
in Microsoft Dynamics NAV
2013 course.
Country/Region of opt Enter a code for the

Origin Code country/region in which the
item was produced or
processed. The field is used for
reporting to Intrastat.
Net Weight opt Enter the net weight of the

item if you want it to complete
customs documents, waybills,
and so on.
Gross Weight opt Enter the gross weight of the

item, if you need it to
complete, for example,
customs documents, waybills.
Item Tracking and Warehouse FastTabs
The last two FastTabs on the item card are for special purposes and are not
covered in this training manual, except for the following short overview:
• The Item Tracking FastTab governs the use of serial and lot numbers
assigned to the item for tracking purposes.
• The Warehouse FastTab holds information about how the item is
received, stored, and shipped in special warehouse activities.
As soon as an item card is created, the item is ready to be purchased or sold on

document lines.

Demonstration: Create a New Item
Scenario: As the product designer at CRONUS International Ltd., you are

responsible for setting up new items. A customer has requested a special paint
color, Sunflower Yellow that CRONUS does not sell. However, the purchasing
agent at CRONUS has located a vendor from whom to purchase this color, and
you must now create the new item in the database.
Only the minimum required fields are filled in for this demonstration.
Demonstration Steps
1. Create the new paint item in the database.

a. On the navigation pane, click Home and then click Items.
b. Click New to open a new Item Card page.
c. Expand the General FastTab.
d. Click the AssistEdit ( ... ) button next to the No. field, to select
from which number series the automatic numbering of the item
should proceed.
Multiple number series are set up for item numbers to group different items by
their item numbers. Notice in the first number series line that both the Default
Nos. and Manual Nos. fields are selected. This means that you can either have a
number created automatically (by pressing the ENTER key after you insert a new
record) or manually (by typing it) in the No. field. With the last four number
series, you must type a number manually. The item number must be filled in. After
that, it identifies the item in all types of processing with the item. This is also the
case for number series in other master data records such as vendor cards and
customer cards.
e. Select the second line, ITEM2 (the paint number series), and then
click OK.
f. In the Description field, type "Paint, sunflower yellow".
g. Click the drop-down arrow of the Base Unit of Measure field,
and then click New.
h. Click the drop-down arrow of the Code field, and select CAN.
i. In the Qty. per Unit of Measure field, leave the default value of
1.
j. Click OK.
k. In the Shelf No. field, type "B6" to specify where you want the
item placed in the warehouse.
l. Expand the Invoicing FastTab.
m. In the Costing Method field, leave the default of FIFO.

n. In the Unit Cost field, type "1.40".
o. In the Last Direct Cost field, type "1.40".
p. In the Unit Price field, type "2.70".
Note: Notice that the Profit % field now shows a calculated profit of
approximately 48 percent.
q. In the Gen. Prod. Posting Group field, enter RETAIL.

r. Notice that the VAT Prod. Posting Group field is automatically
set to VAT25 percent because of the existing posting setup.
s. In the Inventory Posting Group field, enter RESALE.
t. Click OK to close the Item Card page.
You do not have to fill in the remaining FastTabs and fields now. The new item,
70105, Paint, sunflower yellow, is ready for further processing.

Lab 5.2: Create a New Office Furniture Item

Scenario
As the product designer at CRONUS, you are responsible for setting up new items.
The vendor of the ANTWERP conference tables has informed you that the
matching chairs are now available. CRONUS has decided to take this item into
their arrangement.
The new item must be set up, according to the following conditions:
• An automatic item number will be generated according to the same

number series as the other furniture (ITEM4 number series).
• The ANTWERP, Conference Chairs will be purchased by pcs at 150,00
LCY.
• The item belongs to the category FURNITURE.
• The costing method must be set to FIFO.
High Level Steps

1. Create the new item card.
3. Expand the Invoicing FastTab.
Detailed Steps
1. Create the new item card.
a. On the navigation pane, click Home and then click Items.
b. Click New to open a new Item Card page.

a. Click the AssistEdit (…) button next to the No. field, and then
select ITEM4.
b. In the Description field, type "ANTWERP, Conference Chair".
c. Click the drop-down arrow of the Base Unit of Measure field,
and then click New.
d. Click the drop-down arrow of the Code field, and then select PCS.
e. In the Qty. per Unit of Measure field, leave the default value of
1.
f. Click OK.
g. In the Item Category Code field, enter FURNITURE.

3. Expand the Invoicing FastTab.
a. In the Costing Method field, enter FIFO.
b. In the Unit Cost field, enter 150.00 LCY.
c. In the Last Direct Cost field, enter 150.00 LCY.
d. Notice the Gen. Prod. Posting Group, VAT Prod. Posting
Group, and Inventory Posting Group fields were automatically
populated when you filled in the Item Category Code field.
Leave the provided defaults.
e. Click OK to close the Item Card page.

Module Review
Module Review and Takeaways
Each G/L account can be managed in a G/L Account Card page that holds the
setup information and links to related entry details. The list of all existing G/L
accounts is displayed in the Chart of Accounts page, which is the central
interface to the company's financial records.
As one of the central elements of a financial management system, the purpose

and functions of the chart of accounts and the management of master data is
prerequisite knowledge for anyone training to work with Microsoft Dynamics®
NAV 2013 at any level.


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MODULE 5: MASTER DATA FOR THE SALES AND

As one of the central elements of a financial management system, the purpose

The objectives are:

• Explain how to use G/L account cards.

Microsoft Official Training Materials for Microsoft Dynamics ® 5-1

G/L Account Cards

To open a G/L account card, follow these steps:

1. On the navigation pane, click Departments.

FIGURE 5.1: G/L ACCOUNT CARD PAGE – G/L ACCOUNT 1110

5-2 Microsoft Official Training Materials for Microsoft Dynamics ®

Name A short description of the G/L account.

Income/Balance Indicates whether the account is an income or

Debit/Credit The type of entries that are usually posted to this

Account Type The purpose of the account. The options are as

Note: Entries can be posted only on a G/L

Totaling Determines which accounts go into a Total or an

Microsoft Official Training Materials for Microsoft Dynamics ® 5-3

New Page A check box that determines whether a new report

Search Name Search field for finding a particular account by

Balance The current balance of the account. Drill down from

Reconciliation A check box that determines whether the G/L

Automatic Ext. A check box that, when selected, automatically

Direct Posting A check box that, when selected, indicates whether

Note: Generally, for accounts that have a

Blocked A check box that, when selected, prevents entries

Last Date System-generated field that displays the date when

5-4 Microsoft Official Training Materials for Microsoft Dynamics ®

The following table briefly describes the purpose of each field.

Gen. Bus. Posting Identifies the default general business posting

Gen Prod. Posting Identifies the default general product posting

Microsoft Official Training Materials for Microsoft Dynamics ® 5-5

Note: Setting up a company by using RapidStart Services is covered in the

5-6 Microsoft Official Training Materials for Microsoft Dynamics ®

Comments Displays or provides a field in which you can enter

Dimensions Displays or provides a field in which you can enter

Extended Texts Displays or provides a field in which you can enter

Receivables- Provides a summary of the following:

Where-Used List Displays a list of tables where this G/L account is

Microsoft Official Training Materials for Microsoft Dynamics ® 5-7

G/L Balance by Displays balance or net change information for all

Chart of Accounts Page

To view the chart of accounts, follow these steps:

1. On the navigation pane, click Departments.

5-8 Microsoft Official Training Materials for Microsoft Dynamics ®

FIGURE 5.2: CHART OF ACCOUNTS PAGE

• Format fields for Begin-Total and End-Total account types.

It is considered best practices to run the Indent Chart of Accounts function to

Microsoft Official Training Materials for Microsoft Dynamics ® 5-9

Dimensions - Multiple Assigns the same default dimensions to

Ledger Entries, Functions exactly like similarly named

G/L Account Displays the actual and budgeted balance

G/L Balance/Budget Displays the actual and budgeted balances

Chart of Accounts Displays the chart of accounts with

5 - 10 Microsoft Official Training Materials for Microsoft Dynamics ®

Demonstration: Create a Customer

Scenario: As the order processor at CRONUS International Ltd., you are

To fill in the minimum required fields, follow these steps:

1. Create the new customer in the database.

Microsoft Official Training Materials for Microsoft Dynamics ® 5 - 11