I am curious about breweries that use the retail transfer between their main warehouse and the taproom warehouse and how they account for the elimination entries. Currently, we just transfer the inventory using the normal Inventory Transfer function but this brings the items over at cost and provides the taproom with tremendous margins while the brewery not so much because they incur most of the labor & overhead costs. We were hoping to view both the taproom and brewery as different business segments and want to get a better sense of each segments performance. I've reviewed the retail transfer function and it appears to partially provide what we are looking for however it doesn't include the elimination side of things for the sales from the brewery and ultimately the COGS side of things for the taproom when trying to consolidate. How do those that use the retail transfer account for the elimination? Is it done monthly?
We also have taproom inventory currently but I'm thinking if I transfer all that inventory back to our main warehouse we can then just sell it back to the taproom via the retail transfer rather than have to worry about what was inventory prior to transitioning to the retail transfer function. Any additional info would be greatly appreciated.