Is It Possible to Cost InterUnit Transfers at the Original Putaway Cost for Actual Costed Items instead of Having the 'Transaction Costing' Process (CM_COSTING) Creates Accounting Lines for Transaction Group 300?

(Doc ID 1495188.1)

Last updated on AUGUST 04, 2016

Applies to:

PeopleSoft Enterprise SCM Inventory - Version 8 SP1 and later
PeopleSoft Enterprise SCM Cost Management - Version 8 SP1 and later
Information in this document applies to any platform.

Goal

Is it possible to cost InterUnit Transfers at the original putaway cost for Actual Costed Items instead of having the 'Transaction Costing' process (CM_COSTING) creates Accounting Lines for Transaction Group 300 (Gain/Loss on Trans Price) to account for any differences between the Transfer Cost and the original putaway cost?

Example:

Transfer Pricing Definition is setup so that the default Actual Cost is used.
Cost Profile: Actual and FIFO
Default Actual Cost = 6

1) You create two Express Putaways, both for a quantity of 10 but one with a Cost of 4 and one with a Cost of 6.
2) You create, ship, receive, and putaway an InterUnit Transfer for a quantity of 20 to transfer the received quantity of 20 into a different warehouse.
3) Run the 'Transaction Costing' process (CM_COSTING) process > the following Accounting Lines are created:

* Destination Business Unit:
Transaction Group 022: qty of 20 x Transfer Cost  of 6 = 120

* Source Business Unit:
1 set of Accounting Lines for the Transaction Group 031: qty of 10 x Putaway Cost of 4 = 40
1 set of Accounting Lines for the Transaction Group 031: qty of 10 x Putaway Cost of 6 = 60
1 set of Accounting Lines for the Transaction Group 300 (Gain/Loss on Trans Price): qty of 10 x Transfer Cost of 6 - Putaway Cost of 4 = 20

Solution

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