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Question About Cost Calculation of Transferred Intermediate Item and Cost Rollup (Doc ID 2464474.1)

Last updated on FEBRUARY 04, 2021

Applies to:

Oracle Process Manufacturing Financials - Version 12.1.3 and later
Information in this document applies to any platform.

Goal

-Customer manufactures an intermediate item in org A. Does cost rollup in that org, costs are created, everything looks good.
-The item is transferred to org B using IR/ISO with no cost associated.
-The customer copies the cost from Org A to Org B. They also add an additional row in Item Costs for freight. So far, everything looks ok.
-They use this item as an ingredient to manufacture another item, the end product, in Org B.
-If they run Cost Rollup for this end product without checking the Single Level checkbox, they only get the Freight cost from the intermediate item contributing to the end product's cost - all of the other cost components and associated costs seem to go missing. If they check the Single Level checkbox, then it seems that the full cost and cost components from the intermediate item are pulled in as expected.

Is this normal? Is there a reason that without Single Level checked only the manually entered freight cost from the intermediate goes into the end product?
 

Solution

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In this Document
Goal
Solution


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