Inventory valuation report

srvaidya.63

Dear All,

I created a released production order,posted production journal for it, changed the status to finshed, and run the Adjust cost-item entries & Post inventory cost to G/L batch jobs.I have checked that on the finished production order a tick mark is present in the column Completely Invoiced.

When I took the report Inventory valuation - WIP,I got zero amount in Cost posted to G/L.What could be the reason?

When I took the report for a finished production order for Bicycle (prod. order nos. 1011002 & 1011003) (Item No. 1000) there was this amount present.

Please explain & help.

Regards,

Alex_Chow

Why would the items be in WIP when you finished the production order?

darshanm

Namaste!

When you post the output and consumption, value is posted to WIP account.
When Prod. Order is finished and "Adjust Cost- Item Entries" batch job is run, Prod. Order
gets invoiced and value gets transferred from WIP to Finished Goods account.

Ravi_Thakkar

Hi, all

Can we change the inventory valuation report to calculate Inventory Value based on 'Last Direct Cost' instead of 'Cost Amount (Actual)'...?

i.e. will it be right according to the functional point of view?

Please Reply. Thanks in Adv.

reema

How it is possible Mr . Ravi.

If u go through the Inventory Vluation Based on the Last direct cost your INventoyr valuation willl be wrong.

Here I will give one example.

Date Item Qty Rate
1/10/08 Pen 1 100
2/10/08 Pen 1 200
3/10/08 Pen 1 300


.
For exaple if u run the report for your inventory valuation on 4/10/08 for the item = Pen
Value = 600. So this is the correct value.

If u consider the Last direct cost based on The date 3/10/08 , Your inventory Vluation is 900 . Is it correct

AdamRoue

And how will you ever reconcile the inventory valuation to the general ledger?

Ravi_Thakkar

Hi, all,

Thanks for your most vauable replies.
I understood the whole scenario. And concluded that it can't be possible at functional point.

Thanks.