This website uses cookies to ensure you have the best experience. Learn more

Term Paper

3672 words - 15 pages

yu

March, 2012 Product Costing - Best Practices
by Heering Ligthart

On Manufacturing Accounting

Editor's Note: There's so much to think about with product costing: the amount of detail you'll need, maintaining master data, variances… the list can go on. This article by Heering Ligthart discusses some key topics for managing Product Costing efficiently. He'll cover best practices in costing security, using "Last In" calculation, working with multiple branches, and finally recording and finding historical costs.

Introduction
I have implemented JD Edwards Manufacturing and Distribution modules at several companies and have found that there are always questions surrounding product ...view middle of the document...

The screenshots used are from JD Edwards EnterpriseOne 8.12.

Copyright © 2012 by Klee Associates, Inc. www.JDEtips.com

Product Costing - Best Practices
Secure Costing
Companies that use the Manufacturing module get an extra dimension in Product Costing: the cost components. The Cost Revision or Cost Ledger represents a value of an item, where the Cost Components are elements of that value, like material, labor, or overhead costs. The sum of the cost components should be equal to the cost ledger of that item, which is visible in the standard Cost Components. See Figure 1.

Figure 1: Cost Components When there is a difference between the cost revision and the sum of the cost components, financial variances occur between the manufacturing journal entries and the stock value. These are different from the variances generated by the WO Variance Journal Entries (R31804), which are common and a result of the manufacturing process. Differences between the F30026 and the F4105 will result in different stock value bookings from the Manufacturing module using the cost components and the logistic stock transaction using the cost revisions. In plain text, completion of item A will be done at value X and the same product is shipped out for value X+1. As a result, the stock value for "1" is lost somewhere. Within manufacturing branches, it is most important that the cost revisions and cost components are kept in sync. Using the standard cost rollup and cost freeze in a process is not enough if the cost revisions can be changed by users. A standard processing option in P4105 will prevent the sales/inventory cost method from being changed. See Figure 2.

Figure 2: Processing Option to Prevent Standard Cost Changes However, even if all defined versions of the P4105 are set as "secured" through the above processing option, undefined versions can be called. For example, the Item Master (P4101) and Item Branch/Plant (P41026) have row exits to the cost revisions, but no processing options to define the version; thus the defined version of the P4101 is used to check the P4105. If that version is not defined for the P4105, all processing options are blank, and the sales/inventory cost method can be changed. This back door is easily closed by using column security for two fields in the P4105: 1. CSMT - the defined cost method that the system uses to calculate the cost of goods sold for the item 2. UNCS - the unit cost of an item in the P4105 for a specific cost method

Copyright © 2012 by Klee Associates, Inc.

www.JDEtips.com

Page 2

Product Costing - Best Practices

By securing these fields on a public level for all versions, the cost price is always secured. See Figure 3.

Figure 3: Column Security for CSMT and UNCS Fields Due to the fact that cost revisions can be used in Advanced Pricing and Procurement or that cost methods are manually adjusted, specific roles or users should be able to edit the Unit Cost field. As shown in Figure 3, the...

Other assignments on Term Paper

Term Paper

2686 words - 11 pages INTERNATIONAL UNIVERSITY of the CARIBBEAN SAVANNA-LA-MAR CAMPUS COURSE: Guidance and Counseling / Psychology (year 3) Borderline Personality Disorder TERM PAPER IN PARTIAL FULFILLMENT of the COURSE: Abnormal Psychology PRESENTED TO: MS. Loi Perry PRESENTED BY: Kerese Mckenzie ID#: 1220654 Date: March 24, 2016 The current diagnostic criteria set for Borderline Personality Disorder (BPD) is taken from the American

Argumentative Term Paper

961 words - 4 pages How to Write an Argumentative Term Paper Brannon L. Hollis, Jr. MGT 521 September 13, 2012 Norma Sutton Writer’s block seems to haunt me every time one decides to write. One muse did not start to fully erupt until 5:21 last Thursday morning when I thought this paper was due to be submitted, yet as a newbie to the college homework cycle, I discovered that our learning team was on time with all team-related assignment. On the personal side

Econimics Term Paper On Inflation

3165 words - 13 pages “Analysis of inflection, CPI and Annual Growth Rate: A South Asian Perspective” Prepared for Bishnu Prakash Adhakari Economics: Course facilitator SOMTU, Kritipur Prepared by Gokul Gaire MBA 2nd Semester SOMTU July 18, 2013 ABSTRACT: The rate of inflation- the percentage change in the overall level of prices- varies grately across time and cross country. The objective of this paper is to analyze the consumer price inflation

Technology And Society Term Paper

3674 words - 15 pages is a blessing. A different perspective is seen in the book, “Against the Machine: How the Web Is Reshaping Culture and Commerce and Why It Matters.” Author Lee Siegel argues that the Internet is “obscurely a curse” (Siegel, 2009) in that “more and more people are able to live in a more comfortable and complete self-enclosure than ever before (Siegel, 2009).” This paper argues that the Internet is both a blessing and a curse with regards to

Term Paper-Lowe's Bd 10-Year

3561 words - 15 pages considers the potential of expanding Lowe’s into the Korean market. With any major investment, it is important to consider the monetary and non-monetary aspects including gaining an understanding of the culture, the ideal management approach, past and future trends, along with political roadblocks. In this paper, the following information provides a roadmap to the decision-making process. First, an assessment of the Lowe’s vision, mission, and

My Term Paper In Ancient Philosophy

2975 words - 12 pages Aristotle, he defined prudence as beings reasoned and true state of capacity to act with regard to human goods.[19] However, Aristotle did not believe that all people are capable of acquiring prudence. Indeed, his teaching is devoted to the idea that education and training the intellectual virtues especially prudence, would develop the understanding of human good. In the previous part of this paper, it stated the current condition of the ‘Delicadeza

Term Paper

1548 words - 7 pages Purpose The purpose of this project is to determine what affect a female’s level of educational attainment (DEGREE)has on her employment status (UNEMPLOYED) while holding constant the overall percentage of females(FEMALE), opportunities represented by her location/state’s gross domestic product (GDP), and the makeup of the workforce (WORKFORCE). The independent variables DEGREE, FEMALE, GDP, and WORKFORCE determine the dependent

Term Paper

696 words - 3 pages (Wht Happ)The incentives and the intended roles of players in the investing and informationchain and the regulators were substantially misaligned thus causing a breakdown inthe effective and well functioning capital market.How incentives side tracked rational decision ---------------------------I. Venture Capitalists: • To provide high rate of return to their investors, VC’s typically sold their stake in their portfolio companies either to the

Term Paper - 2258 words

2258 words - 10 pages forms. Horizontal analysis is used to evaluate the trend in the accounts over the years, while vertical analysis, also called a common size Financial Statement discloses the internal structure of the firm. It indicates the existing relationship between sales and each income statement account. It shows the mix of assets debt that produces income and the mix of the sources of capital, where by current or long-term debt of by equity funding. Financial

Term Paper - 1368 words

1368 words - 6 pages -cost design and computer-aided modeling packages to customers to reduce their development expenses. AS will help the customer through all phases of new product deployment, from initial prototypes through final large-volume production and assembly. By involving itself in all phases of customer product development, AS hopes to establish long-term relationships and secure repeated follow-on business with its customers. In addition, AS continues to

Term Paper - 556 words

556 words - 3 pages Financial Management Is the process of managing the financial resources, including accounting and financial reporting, budgeting, collecting accounts receivable, risk management. Three areas of Financial Management: First is.. Personal Financial Management is mandatory in today’s world. It provides the means of keeping track of personal expenses, personal debt and subsequently helps the calculation of a person's net worth financially

Similar Documents

Term Paper 405 Words

405 words - 2 pages Term Paper A term paper is a research paper written by students over an academic term, accounting for a large part of a grade. Term papers are generally intended to describe an event, a concept, or argue a point. A term paper is a written original work discussing a topic in detail, usually several typed pages in length and is often due at the end of a semester. Contents   [hide]  * 1 Origin and clarity of the word * 2 History * 3

Term Paper 3910 Words

3910 words - 16 pages THE VALUES I LEARNED FROM MY MOTHER AND HOW IT CHANGED AND AFFECTED MY LIFE A Term Paper Submitted to the School of Information Technology MAPUA – IT CENTER Makati City In Partial Fulfillment Of the Course Requirements in Rizal’s Life, Works, & Writings and Other Filipino Heroes RZL10 Submitted by: Mary Jane L. de Lemos Submitted to: Dr. Reynaldo A. Padilla June 2012 Table of Contents: Acknowledgement

Term Paper 1047 Words

1047 words - 5 pages TERM PAPER Lara Zeyna Altinok BACKGROUND This paper will present answers to the following questions: 1. Provide a description of the company that you work for. As part of your description include a discussion of the type of organizational structure. 2. Describe an agency problem within the firm and discuss what you think is causing the problem and how the problem might be better controlled. 3. Describe the job dimensions of the

Term Paper 2607 Words

2607 words - 11 pages immediately which made declaring my major very easy. In pursuit of my degree at C.W. Post I kept my grades high enough to stay in the Honors Programthrough the entirety of my college career. Along with the Honors and Writing Across theCurriculum classes I took, I also completed a 50 page research paper during my final twosemesters. I chose the topic of love and focused on the concept of Love Styles. I chose love as atopic for my thesis because I have