Rectify Average Cost Issues in Dynamics 365 BC

Job ID: 40294761

Budget: €250 – €750 EUR

Dynamics 365 Business Central Expert Needed – Fix Average Cost Issues Caused by Negative Inventory We are looking for a senior Microsoft Dynamics 365 Business Central consultant/developer with deep experience in the inventory costing engine (Average Cost) to help fix severe inventory valuation issues caused by negative inventory sales.

This is not a simple configuration problem. The issue is related to cost propagation, value entries, and item application chains in Business Central.

Please apply only if you have strong experience with Business Central costing internals (Item Ledger Entries, Value Entries, Cost Adjustment logic, Average Cost behavior).stem Context

ERP: Microsoft Dynamics 365 Business Central

Costing Method: Average Cost
Average Cost Period: Month
Negative Inventory: AllowedMain Problem
Due to sales posted while inventory was negative, the system generated extremely incorrect average costs (millions per unit).

This has caused:
completely incorrect inventory values
Cost of Goods Sold with extremely large amounts
corrupted Value Entries

incorrect Average Cost propagation across monthsExample:
Correct cost should be approximately:
11.74
But the system generated costs in the millions per unit.Symptoms Observed
For one specific item:
Sales Value Entries with cost amounts in the millions
Average cost calculation completely broken
Inventory valuation inconsistent
Cost adjustment does not fix the issueAttempts Already Made

We have already tried several corrective approaches.
1) Adjust Cost – Item Entries
Executed:
Adjust Cost - Item Entries

Result:
The process finishes instantly
No changes in Value Entries
Appears that cost propagation is not recalculated2) Item Application / Application Worksheet

We analyzed:
Item Ledger Entries
Item Application Entries
Application Worksheet
Attempts included:
unapplying entries
reapplying entries
closing open entries
Errors encountered such as:“Item entries are applied in Application Worksheet.”) Revaluation Journal

Tried using:
Calculate Inventory Value

Problems:
System generates extremely large revaluation values
Revaluation lines generated for multiple monthly periods
Values completely incorrect (billions)

4) Inventory Adjustments
We attempted:
Positive Adjustments
Negative Adjustments

to: eliminate negative inventory bring average cost closer to the real value

Result:
Average cost improved partially but Item Unit Cost field remains incorrect
5) Manual Revaluation

We attempted:
manual revaluation in the period where cost exploded
posting revaluation

However:
the system still regenerates incorrect values when running Calculate Inventory Value
Current Issues

Currently the system shows:
Incorrect Average Cost for the item
Inconsistent Value Entries
Adjust Cost – Item Entries does not propagate corrections
Revaluation Journal produces huge incorrect values
Possible broken cost application chain

Goal
We need an expert to:
analyze Item Ledger Entries
analyze Value Entries

analyze Item Application Entries and correctly restore:
the real Average Cost
correct Value Entries
consistent cost propagation
stable future cost calculations
without corrupting accounting data.

Expected Work

The consultant will likely need to:
identify movements generated during negative inventory
repair cost application chains
correct corrupted Value Entries
stabilize the costing engine behavior

Possible approaches may include:

Revaluation
Reapplication
Cost adjustment correctionsor a custom AL diagnostic tool

Required Expertise

Only apply if you have real experience with:
Dynamics 365 Business Central
Inventory costing engine
Average Cost logic
Item Ledger Entries
Value Entries
Cost Adjustment internals
debugging cost propagation issues

We are not looking for general ERP consultants.

Deliverables
Identify the root cause of the costing issue
Restore the correct average cost for the item
Ensure cost adjustment works correctly again
Provide guidance to prevent this issue in the future

Bonus Skills

AL Development
deep debugging of Business Central cost engine
experience fixing corrupted costing chains
Related categories: ERP Debugging Data Analysis