Business Unit and Cost Organization

Inventory Organization and Legal Entity

Business Unit and Legal Entity

Business Unit and Inventory Organization

Legal Entity and Cost Organization

Inventory Organization and Cost Organization

Manage the Item Cost task.

Import standard costs from receipt layers.

Manage the Standard Cost task.

Create Standard Cost in a spreadsheet.

Product Information Item > Search and select item > Specifications > Manufacturing > Verify that Inventory Asset Value is set to "No".

Manage Common Options for Payables and Procurement > Select the business unit > Expense Accruals > Set Accrue Expense Items to Period End.

Configure Procurement Business Function > Select the business unit > Set Select Receipt Close Point to Accrue at Period End.

Product Information Item > Search and select the expense item > Specifications > Manufacturing > Verify that Inventory Asset Value is set to "Yes".

Configure Procurement Business Function > Select the business unit > Set Select Receipt Close Point to Accrue at At Receipt.

Manage Common Options for Payables and Procurement > Select the business unit > Expense Accruals > Set Accrue Expense Items to At Receipt.

You can share definitions across multiple cost organizations.

You can control which definitions are visible to different cost organizations

You can streamline your setup effort.

You have the option to share setup data across all cost organizations using the common set.

You can take advantage of the business unit-to-set ID mapping defined in Cost Accounting.

You don't have to create any definitions for cost books.

to maintain backward compatibility

to obtain detailed information for audit purposes since all sub ledger accounting is at the detail level

to calculate costs for transactions

to create accounting strings that can be viewed and corrected just before they are transferred to the General Ledger

to centralize accounting string generation across all modules

In-transit

Retro-reprice

Adjustments

Overhead

Cost of Goods Sold

Item cost profiles are defined within an inventory organization. There can be only one cost method for an inventory organization.

Cost profiles are ultimately defined at the item level. Different items within the same inventory organization can use different cost profiles.

Item cost profiles are defined at the cost organization level. All items within a cost organization must use the same cost profile.

Different items within an inventory organization can use different cost profiles, but items within an item category must all use the same cost profile because that is the level at which the default cost profile is defined.

Sub ledger accounting is set up to accomplish this out-of-the-box.

Line Type must be set to Freight.

Account Class must be set to Freight.

Create a condition for a journal line for freight.

Review and Approve Item Cost Profiles

Review Item Costs

Create Receipt Accounting Distributions

Review Cost Accounting Distributions

Manage Accrual Clearing Rules

Create Accounting

Analyze Standard Purchase Cost Variances

Create Receipt Accounting Distribution

Review Item Costs

Adjust Receipt Accrual Clearing Balances

Review Journal Entries

The original account is stored on the journal line.

Suspense accounts cannot be used.

An alternate account will be used if provided.

An error will always occur.

The preprocessor will pre-warn about this error.

Users must manually enter the cost of each configured item; the calculation is not automated.

The standard cost is the sum of the cost of the selected option items.

The cost of a configured item is calculated based on the work definition of the model item.

The standard cost of the configured item is based on the purchase order price quoted by the

supplier for the configured item.

The roll-up calculation can be performed to update standard costs for Cost Accounting purposes

Change expense items to accrue at period end.

Change the Purchasing Line types to 4-way match.

Change inventory items to accrue at period end.

Change the Purchasing Line types to 3-way match.

Change the Receipt Close tolerance so it is 100 percent.

The cost of Items that the contract manufacturer had to purchase to perform the contract manufacturing service, and the cost of resources used by the contract manufacturer

The cost of items that the original equipment manufacturer (OEM) owns and has provided to the contract manufacturer for use in the process of making the output Items

The cost of resources consumed at the OEM's factory

The cost of the contract manufacturing service Item. This is the price that the contract

Manufacturer will charge to make the outputs and would normally be enough to cover their costs and include a fair profit.

It is used for calculating the estimated cost of manufactured items under different scenarios.

It is used for Receipt Accounting.

It is where you define your Cost Accounting policies.

It is where you define which cost method you want to use for the cost component to cost element mapping.

Scrap Costs

Variable Costs

Output Costs

Incremental Costs

Input Costs

Standard Cost variances

Business Unit/Landed Cost Charge/Cost Organization

Item/Business Unit/Route

Item Category/Material Supplier/Landed Cost Charge

Inventory Organization/Landed Cost Charge/Third Party Supplier

Item Catalog/Inventory Organization/Business Unit

Duty is a seeded charge name for Landed Cost.

You can modify a charge name until it is associated with a trade operation.

Charge names cannot be used to tie an invoice to a trade operation.

You can use multiple currencies within a trade operation for the same charge name on different lines.

Charge names cannot be associated with a PO schedule.

A cost organization can use secondary books to perform Cost Accounting for different purposes such as currencies, regulatory reporting, or management reporting.

A cost organization has one book that posts to the primary ledger.

Every cost organization must use different book names; they cannot be shared.

Secondary books can post accounting entries into any ledger, including the primary ledger or any secondary ledger.

Review their audit receipt accrual clearing balances.

Review their journal entries, including their sub-ledger accounting events and class where the charges from the purchase orders are going to be charged to.

Review their accrual balances and clear them.

Review their Receipt Accounting processes that show whether any processes failed and why.

Review their distributions that show the debit and credit information specific to the Receipt Accounting transaction selected.