PROCEDURE FOR MOVING GRAIN FROM OPEN STORAGE TO DP

PROCEDURE FOR MOVING GRAIN FROM OPEN STORAGE TO DP

When moving grain between Storage & DP getting the charges to work out correctly can be a challenge. Even if before you move to DP, Storage Charges are Invoiced out, if you don’t build the DP table correctly the new DP Charge will not work out correctly. The secret is setting up the new DP Table that incorporates the rates for when it was in Open Storage, and the rates that will apply while in DP. Therefore, this will end up being a unique table that will only apply to the customer/customers that are moving between the 2 dispositions.

Here is an example of what can happen:

Farmer has 1790.16 bu in Open Storage. It unloaded 8/5/20 & on 1/16/21 it is to be moved to DP. The Open Storage table is Table 3. The storage calculation from 8/5/20 to 1/16/21 is $395.84. You can create a Storage Invoice before moving to DP, so that the Delivery Sheet will reflect the charges incurred while in Storage, vs those incurred while in DP.

Now that it is in DP, note the Storage DP Table is different, it’s now on DP Table 2. The system is going to start over in calculating the DP Charges from the Ave Ticket Date of 8/5/20 but using the rates on DP Table 2. In this case my rate is .001 cents per day. When, in reality, the DP charges should start on the day you moved it to DP, which is 1/16/21. If the grain was then sold on 4/17/22, the system is going to calculate the charges from 8/5/20 – 4/17/22 at the .001 cents per day on the DP Table. This works out to 621 days in DP x .001 x 1790.16 = $1111.69

Notice the New Invoice Amount is now $715.85, which is simply the Total Charges of $1111.69 less the amount Invoiced previously, for when the grain was in Open Storage, of $395.84 = $715.85

But what should have happened, is while in DP, it should be charging from 1/16/21 – 4/17/22 which is only 456 days, at the rate of .001 x 1790.16 = $816.31 & should not be subtracting the amount Previously Invoice. The goal would be to have the ending Delivery Sheet show Open Storage Charges of $395.84 & DP Charges of $816.31.

To get this to work out, the DP Table needs to start out with the rates were when it was in Open Storage & what the additional rate should be while in DP.

This is how the Storage Table 003 was built.

This is how the DP Table 002 was built.

This is how the DP Table 002 should look. Note the start date of Line 3 should be the next day after moving it to DP, as you calculated through the move date with the Open Storage Charges.

Storage Charges report will now show the proper amount of Storage Charges of $395.84 & the New Invoiced Amount will be the correctly calculated DP Charges of $816.31.

The Delivery Sheet after pricing on 4/17/22 now reflects the proper amount of Open Storage & DP :