For customers using Financial Reporting (Costing) and/or Contract Storage of spirits, Whiskey Systems uses "Reason for Transfer" to ensure accurate financial reporting as well as maintaining ownership (title) of spirit.
In most cases, especially for smaller distilleries, the correct option to choose will be Sold to DSP.
Each Reason is listed below with an explanation of its purpose.
» For Transfer In Reasons, review the following resource: Transfer In Reasons (TIB): What do they mean?
Sold to DSP
Use Cases
- You sold this tote/spirit/barrel to another DSP, or
- You sent this tote/spirit/barrel to another DSP for processing, bottling, or any other operation besides Contract Storage.
Financial Implications
- The value of the spirit batch is added to CostOfGoodsSold_Material (debit to increase) and deducted from WorkInProcess (credit to decrease).
- If a cost and/or shipping value is provided, then an additional financial transaction will be logged with the sum of those values - deducted from Sales (credit to decrease) and added to Accounts Receivable (debit to increase).
Contract Storage
Use Case
- You are sending this barrel out for storage at another DSP and you will later receive it back.
Financial Implications
- The value is removed from WorkInProcess (credit to decrease) and added to OffsiteAssets (debit to increase)
- This transaction round-trips if you later receive it with the "Back from Storage" Reason selected.
- That later receipt would add value to WorkInProcess (debit to increase) and remove value from OffsiteAssets (credit to decrease).
Send to Linked DSP (WS must be linked to another DSP)
Use Case
- You sent or sold this asset to another DSP.
Financial Implications
- Sending DSP
- The value is removed from WorkInProcess (credit to decrease) and added to CostOfGoods_Material (debit to increase)
- If a price and/or shipping value is provided, then an additional financial transaction will be logged with the sum of those values - deducted from Sales (credit to decrease) and added to Accounts Receivable (debit to increase).
- Receiving DSP
- If a price and/or shipping value is provided, the sum of those is added to WorkInProcess (debit to increase) and removed from AccountsPayable (credit to decrease).
- Otherwise, the sending DSP's internal cost is added to WorkInProcess (debit to increase) and removed from AccountsPayable (credit to decrease).
Send to Linked DSP for storage (WS must be linked to another DSP)
Use Case
- You are sending this tote/spirit/barrel out for storage at another DSP and you will later receive it back.
Financial Implications
- The value is removed from WorkInProcess (credit to decrease) and added to OffsiteAssets (debit to increase)
- This transaction round-trips if you later receive it with the "Back from Storage" Reason selected (or if the Linked DSP uses the "Send to Linked DSP Return Storage" Reason).
- That later receipt would add value to WorkInProcess (debit to increase) and remove value from OffsiteAssets (credit to decrease).
Send to Linked DSP return storage (WS must be linked to another DSP)
Use Case
- You were storing this barrel for another linked DSP and now you are sending it back to the original DSP.
Financial Implications
- None; however, the receiving linked DSP (who owned the asset all along) will automatically see the value removed from OffsiteAssets (credit to decrease) and added to WorkInProcess (debit to increase).
Visual Map of TIB Out Reasons & Implications