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Hi all,

 

The case as follows.

A company is using Purchase Charges for:

  • Duty
  • Transport

Those are connected to Purchase Order Line (material). Inventory valuation method for inventory purchase parts is Weighted Average, Cost Per Lot Batch + Transaction Based.

So, the value for ARRIVAL transaction is calculated as: material price 1000 + duty 100 + transport 50 = 1150. This is fine.

But from inventory part unit cost perspective they can only see total / accumulated value, always expressed as one single row having Cost Bucket ID - e.g. 110 or MAT (material cost)  = 1150. 

Is there any method to see inventory unit cost with “charges” precision as different cost buckets? They would like to know that under this total value 1150 there is 100 of duty and 50 of transport.

Any ideas appreciated.

 

PS. Already tried:

  • Cost Source → there is no cost source type = charge
  • RMB “Modify cost” by INVREVAL → not sure if that works with invoice matching having +/- differences, supplier correction invoices

 

Best Regards, Lukasz

@IC-LukaszP as far as I know, Cost Buckets / Cost Elements can be used only for Standard Costing, not for Weighted Average.

One option that you could think of is maybe to use the Price Elements / Material Price elements functionality that was developed for Supplier Agreements istarting with 23R2?

Here’s the link to the presentation. Read from slide 159 onwards.

IFS Cloud 23R2 - What’s New in Supply Chain Procurement & Commerce | IFS Community

 

Maybe it helps.

Hi @Marcel.Ausan 

Thanks for the tip. I'm afraid we cannot use Price Elements. This company works on IFS10, and doesn't have Contract Management component. Besides, they still would like to use Charges. Invoicing party for the charge "Duty" and charge "Transport" is different than PO's header supplier. So you get 3 different invoices for one PO. Charges are the most suitable/convinient function to handle this and also to increase stock value (lot) by duty and transport. Thing is, after this increase takes place, you miss the information about the details of the total cost.  

Regards, Lukasz

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