Maintain settlements

With the settlement process, you can calculate the price you must pay a vendor based on the criteria you define, such as grade-out quantities, pack-out quantities, revenues, and margin splits.

Regardless of the accounting method, the settlement calculation is always based on the route the lot number traveled through the company.

You can calculate settlements via the Settlements or Purchase Order page. For more information, see Create and run a settlement and Create a settlement from a purchase order directly.

Prerequisites

The following are the prerequisites for the settlement calculation.

• Purchase order lines with appropriate accounting methods.
• The items in the purchase order lines are lot-tracked and the Grower Accounting toggle turned on. For more information, see Set up items.
• Production orders with the appropriate production order type.