Question

Scrapping in Operation Cost per Unit

  • 1 August 2023
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A
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I am scrutinizing the Cost per Unit reported on Inventory Transaction History records, specifically for Scrap in Operation transactions (transaction code OPFEED-SCP). We are using APP10. The description of this field is “the inventory value in base currency, as retrieved from the inventory part”.

However, the value as reported on ITH does not match the value coming from the Inventory Part > Costs > Inventory Value > Unit Cost record, nor can I match the breakdown in ITH > Cost Detail with the Part Cost Build-Up for the part. Furthermore, this value is sometimes less than, and sometimes greater than, expected.

I understand that the value I am asking about comes from the sum of the Cost per Unit columns from the ITH > Cost Detail tab, but it is not clear how it is arriving at these values for the transaction. Can anyone explain in direct terms where these values derive from, specifically for Scrap in Operation transactions? We are using standard time for labor reporting.

 

 

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M
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We have the same issue. Have you managed to find the source of the problem?

A
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@MDDTJAMU  Not exactly - we have learned to look at the Shop Order Costs page.

 

Actual Cost tab, Actual Accum Cost column  - we are taking the sum of this column to be the true cost of the order. This includes both materials issued and labor/machine costs incurred during operations.

 

Actual Cost Details tab shows the breakdown of each cost bucket. If an order is scrapped, it is believed the cost includes all operations completed up to but not including the operation it was scrapped at, plus all materials issued to that point. We can mostly reconcile the costs reported here with the Part Cost History Detail > Cost Build-up (we must take the cost that was effective at the time the transaction was performed) for the part # of each row, multiplied by the quantity on the transaction.

 

However, we still have the transactions here labeled Scrapping in Operation, the sum of which match what is reported in the Inventory Transaction History record for the scrap reporting, and it is still unclear what these numbers derive from, a la the original question.

 

 

 

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