[Dynamics GP:12165] Current Cost

Hi All.

For one of our customer, they are using "Average Perpetual" as valuation
method in Item Card. I want to know how Current Cost is calculated in
Dynamics GP.

The current cost on the Inventory card in Dynamics GP is updated when:-

a)      A PO receipt is posted

b)      A PO Invoice is posted

c)      An Inventory adjustment is made to increase quantity

d)      Or, if a user manually changes the cost value on the Inventory card.


But I am not understanding what calculation GP does when each of the above
steps taken place.


If some one can help me explain this will be thankful.


Cheers,

Shyam.