Hi Mr.Manoj & Mr.James, Thanks for your replies.
In our company, so for we have been transacting without check marking the Latest cost price check box. We have implemented phase 1 of Production module. We are experiencing problems with respect to short booking of COGS and incorrect valuation of Inventories of Finished goods. On exploring, we have found that, at the time of carrying Production order Report As Finish activity, only quantity of the finished items gets updated without any physical cost (no General Ledger entries too). Financial cost is getting updated at the time of costing. In our business scenario, we used to sell the finished goods to customers even before carrying production order costing activity. This results in short/NIL booking of COGS as there are No/less value available in the on-hand inventory. If we check mark the latest cost price functionality, system posts physical cost for the FG item at the time of Production RAF. This we believe will resolve the gap and post the correct/approximate value at the time of COGS posting. Adjustments if any after production order costing would be posted by the system at the time of 'Recalculation'. Request you enlighten me your views as to whether our understanding is correct. Further, we understand from the white paper on Inventory closing published by Microsoft, that the bug in respect to Latest cost price with quarantine orders were fixed in Ax 3.0 - SP 3. Thanks & regards, Rajamani --- In Axapta-Knowledge-Village@yahoogroups.com, James Flavell <[EMAIL PROTECTED]> wrote: > > The 'Latest cost price' means the cost price field on the item master will > be updated every time you have an inventory transaction (I think its only > reciepts) > > I assume you know what happens when 'Latest Purcahse price' is enabled. It > is very much the same for 'latest cost price' except it is not just on > purchase orders but other incoming transactions (excluding transfers in AX > 4.0 I beleive, see below). > > As you probably know when you come to do something like a stock count or > profit journal AX will use the item master cost price. If you have been > updating regularly in theory you have a more accurate cost price to use on > any gain of stock. > > In AX 3.0 I vaguely remember in earlier service packs the update latest cost > price incldued transfer reciepts and this potentially could put a a very > wrong cost price on the item master. I believe it was fixed at least in Ax > 4.0 but you should test and simulate to be safe. In my customers case they > could not understand why their inventory value went so high after a stock > count and it was because of this bug (also they were doing corrects of stock > locations via the stock count and so this was compounding the problem) > > If your cost price does not change very much then I would not bother to > enable this but if you cost price is changing dramatically then you may want > to try using it (or make sure before inventory counting or profit/loss that > you have checked and set an accurate cost price on the item master) > > Also maybe there is some reason in production environment to have it ticked > but i dont have the time to stop and think through sorry so maybe some one > else can comment on it > > Thanks > James > > > > > > _____ > > From: Axapta-Knowledge-Village@yahoogroups.com > [mailto:[EMAIL PROTECTED] On Behalf Of manoj > manoharan > Sent: 18 December 2007 13:37 > To: Axapta-Knowledge-Village@yahoogroups.com > Subject: Re: [Axapta-Knowledge-Village] Latest Cost Price > > > > Cost price in inventory works as following. > > Go to items form-->general tab-->inventory model group-->Click go to main > table > > 1)From there Click setup -->Under inventory model group, there is a field > Standard cost prie > If you check it the cost price what you mentioned initem > form-->price/discount tab -->cost price > will be taken when you invoice the order. > > NOTE: Whatever order you invoice with this field checked will affect only > inventory Cost price, > It wont affect the general ledger account (the price you give in SO lines > will be affected in finance GL ) > > 2) If you dont check that standard cost field , Then the average of price > when you post a purchase order( price in PO lines) will be taken > > These details you can see in AR-->Inventory-->onhand > -->cost price. (So the price entered in SO lines wont be same compared to > Cost price.) > Then go to Inventory button-->tyransactions--> transactions in > physical/financial voucher > See the the amount will be Cost price * qty. this will be posted in > Inventory GL account > > Again if you check Included hysical value , Then cost price calculation will > be > Avg.CP= phy.value+finance value /Phy qty+fin qty) > > Thnaks > Manoj > > ----- Original Message ---- > From: neyvelisrinivasan <neyvelisrinivasan@ > <mailto:neyvelisrinivasan%40yahoo.co.in> yahoo.co.in> > To: Axapta-Knowledge- <mailto:Axapta-Knowledge-Village%40yahoogroups..com> > [EMAIL PROTECTED] > Sent: Tuesday, 18 December, 2007 7:03:36 AM > Subject: [Axapta-Knowledge-Village] Latest Cost Price > > Hi.. > > Please explain how the 'Latest Cost price' functionality works in > Axapta 3.0. > > Also please share your views with regard to the prerequisites for > Using this functionality, pros & cons of this functionality, etc. > > Thanks & Regards, > > Rajamani > > Why delete messages? Unlimited storage is just a click away. Go to > http://help. > <http://help.yahoo.com/l/in/yahoo/mail/yahoomail/tools/tools-08.html> > yahoo.com/l/in/yahoo/mail/yahoomail/tools/tools-08.html > > [Non-text portions of this message have been removed] > > > > > > > [Non-text portions of this message have been removed] >
