Many manufacturing companies tend to select the ‘Standard Cost’ method for an item’s unit cost valuation. The standard cost is based on some reasonable history or expected cost. The cost is fixed for the items until it is changed. The Standard Cost Worksheet is the tool used to manage this process. It updates the standard cost of components and rolls up the new costs to the finished item.
Before starting the process, ensure the Adjust Cost-Item Entries batch job is run (& cost posted to GL)
From there, the steps to update the standard cost is as follows:
- Run the ‘Suggest Item Standard Cost batch job
2. Run the Suggest Capacity Standard Cost batch job.
3. Run the Roll Up Standard Cost batch job.
4. Run the Implement Standard Cost Changes batch job.
5. Review and post the Revaluation Journal that gets generated.
