E1: 31A: Actual Cost Execution of Work Orders and Accounting Process (Doc ID 625972.1)

Last updated on AUGUST 22, 2023

Applies to:

JD Edwards EnterpriseOne Product Data Management - Version XE and later
JD Edwards EnterpriseOne Shop Floor Control - Version XE and later
Information in this document applies to any platform.

Purpose

This document is the second document of how Actual Costing works, this is specific to the Processing side. See E1: 31A: Actual Cost Setup for EnterpriseOne Document 798903.1

Overview

Receipt Routing at time of Completion (P31114) is not supported for Actual Costing, because stock is revalued at time of P31114 Completion and again when P43250 Movement & Disposition moves stock to On Hand. See Enhancement Bug 11053298.

Processing sequence

For both 02 and 09 Actual Costing, it is imperative that Material Issues (P31113) and Hours and Quantities (P311221 & R31422) are processed before completing the Work Order. The reason for this is that the F4105 Unit Cost of the item being completed is calculated at the time of P31114 Completion based on the value of Materials and Hours booked to the Work Order. It is recommended that only the amount of Material and Hours needed for a given Completion quantity are booked so as to ensure that the unit cost is not over or understated. The system will handle situations outside of this and also out-of-sequence completions (e.g. Issues after Completion) via the R31804 Variance Reporting, but this has to be controlled carefully in case stock is moved/sold before the correct cost has been finally determined. (See 11. Partial Completions and Accounting for Actual Cost Work Orders sections below for more details).

A recommended method to avoid any potential problems described above is to use P31123 Super Backflush (only from 8.9) as P31123 will correctly sequence the order of processing and only book the Material and Hours required for the actual quantity being completed.