Internal replenishment orders are created in the Inventory module of the NCAS. The movement of the inventory between warehouses is recorded by a debit to the Inventory asset account of the receiving warehouse and a credit to the Inventory asset account of the issuing warehouse.

Funds are not checked for the movement of inventory between warehouses with the same company because the items have already been paid for. Expense (53XXXX) accounts are not affected by internal replenishment transactions within the same company. However, funds are checked and expense (53XXXX accounts) are debited for intercompany internal replenishment transactions.