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Inventory Cost Analysis Processing and Calculations
Inventory Cost Analysis Processing and Calculations
The Inventory Cost Analysis Program (IC280E) uses the Inventory Control Audit Trail File (IC280AL) to retrieve and calculate the cost and quantity information for the Inventory Cost Analysis File (IC280M). The program calculates specific costs/quantities for each transaction in the audit trail files that has not been posted for the current period.
Note: The first time the program is run, it will process all transactions in the audit trail file up to the end of the period to be posted (as determined from Reference File category C23).
The Inventory Cost Analysis File contains several different cost/quantity fields for each record (company/warehouse/year/part). These fields are updated by the Inventory Cost Analysis Program during a post request. The program reads the transactions from the audit trail file and performs the appropriate calculations based on the audit trail transaction code associated with the transaction.
See the file layout for the Inventory Cost Analysis File (IC280M) at the end of this Key Concept for a list of the fields and their attributes. The following sections describe the calculations performed for each transaction code and the fields on the file that are updated.
Stock Transfer-To Transactions (Transaction Codes D30 or J70)
Calculation:
|
Quantity of transaction
|
X
|
Unit Cost of transaction
|
=
|
Value of the transaction
|
|
from audit trail file
|
|
from audit trail file
|
|
|
Fields on IC280M updated (quantity/value added to these fields):
LFTRVY - Year-to-Date Transferred Value (with Value of the transaction)
LFTRVQ - Last Quarter Transferred Value (with Value of the transaction)
LFTRQY - Year-to-Date Transferred Quantity (with Quantity of transaction)
LFTRQQ - Last Quarter Transferred Quantity (with Quantity of transaction)
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is SUBTRACTED from the above fields.
Stock Transfer-From Transactions (transaction codes D31 or J65)
Calculation:
NONE
Fields on IC280M updated (quantity subtracted from this field):
LFQPXX - Quantity for current period with the quantity from the transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity is ADDED to the above field.
Shipment/Return/Adjustment Transactions (Transaction Codes D15 or D50)
Calculation:
NONE
Reference File category 432 (Adjustment Codes) is accessed to determine whether the transaction is positive or negative based on the adjustment code associated with the transaction.
Fields on IC280M updated (quantity added to this field):
LFQPXX - Quantity for current period with the quantity from the transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal and positive (based on category 432), the quantity is SUBTRACTED from the field above.
If the transaction is a reversal and negative (based on category 432), the quantity is ADDED to the above field.
Sales Order Transactions (Transaction Code S15)
Calculation:
NONE
Reference File category 432 (Adjustment Codes) is accessed to determine whether the transaction is positive or negative, based on the adjustment code associated with the transaction.
Fields on IC280M updated (quantity added to this field):
LFQPXX - Quantity for current period with the order quantity from the transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal and positive (based on category 432), the quantity is SUBTRACTED from the above field.
Note: If the transaction is a reversal and negative (based on category 432), the quantity is ADDED to the above field.
Flow Receipt Transactions (Transaction Code J40)
Calculation (if the part is not configuration costed):
|
(MUCFL + MUCFM + MUCFO)*
|
X
|
Production Quantity
|
=
|
Value of the transaction
|
|
from the Part Master File (DE100M)
|
|
from audit trail file
|
|
|
* MUCFL - Standard Labor Total Cost
* MUCFM - Standard Material Total Cost
* MUCFO - Standard Overhead Total Cost
Calculation (if the part is configuration costed):
|
Standard Total Cost
|
X
|
Production Quantity
|
=
|
Value of the transaction
|
|
from the Configuration Code Master File (EC140M)
|
|
from audit trail file
|
|
|
Fields on IC280M updated (quantity/value added to these fields):
LFPRVY - Year-to-Date Produced Value (with Value of transaction)
LFPRVQ - Last Quarter Produced Value (with Value of transaction)
LFPRQY - Year-to-Date Produced Quantity (with Quantity of transaction)
LFPRQQ - Last Quarter Produced Quantity (with Quantity of transaction)
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is SUBTRACTED from the above fields.
Backflush, Lot Issue, Deduct Issue, Unplanned Usage Transactions (Transaction Codes J45, J50, J55, J60)
Calculation (if the part is not configuration costed and the usage code is P - produced):
|
(MUCFL + MUCFM + MUCFO)*
|
X
|
Transaction Quantity
|
=
|
Value of the transaction
|
|
from the Part Master File (DE100M)
|
|
from audit trail file
|
|
|
* MUCFL - Standard Labor Total Cost
* MUCFM - Standard Material Total Cost
* MUCFO - Standard Overhead Total Cost
Calculation (if the part is configuration costed and the usage code is P - produced):
|
Standard Total Cost
|
X
|
Transaction Quantity
|
=
|
Value of the transaction
|
|
from the Configuration Code Master File (EC140M)
|
|
from audit trail file
|
|
|
Fields on IC280M updated if usage code is P -produced (quantity/value added to these fields):
LFPRVY - Year-to-Date Produced Value (with Value of transaction)
LFPRVQ - Last Quarter Produced Value (with Value of transaction)
LFPRQY - Year-to-Date Produced Quantity (with Quantity of transaction)
LFPRQQ - Last Quarter Produced Quantity (with Quantity of transaction)
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Fields on IC280M updated if usage code is C - consumed (quantity added to this field):
LFQPXX - Quantity for current period with Quantity of audit trail transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is SUBTRACTED from the above fields.
Purchase Order Transactions (Transaction Codes D20, D22)
Note: If the order type of the transaction record on the audit trail file is Direct Ship, the record is not processed for Inventory Cost Analysis.
Calculation:
|
Order Quantity
|
X
|
Transaction Quantity
|
=
|
Value of the transaction
|
|
from audit trail file
|
|
from audit trail file
|
|
|
Fields on IC280M updated (quantity/value added to these fields):
LFPUVY - Year-to-Date Purchased Value (with Value of transaction)
LFPUVQ - Last Quarter Purchased Value (with Value of transaction)
LFPUQY - Year-to-Date Purchased Quantity (with Quantity of transaction)
LFPUQQ - Last Quarter Purchased Quantity (with Quantity of transaction)
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is SUBTRACTED from the above fields.
Manufacturing Order Transactions (Transaction Codes E35, E37, E30)
For transaction code E30
Calculation if the part is not configuration costed:
|
(MUCFL + MUCFM + MUCFO)*
|
X
|
Order Quantity
|
=
|
Value of the transaction
|
|
from the Part Master File (DE100M)
|
|
from audit trail file
|
|
|
* MUCFL - Standard Labor Total Cost
* MUCFM - Standard Material Total Cost
* MUCFO - Standard Overhead Total Cost
Calculation if the part is configuration costed:
|
Standard Total Cost
|
X
|
Order Quantity
|
=
|
Value of the transaction
|
|
from the Configuration Code Master File (EC140M)
|
|
from audit trail file
|
|
|
Fields on IC280M updated (quantity/value added to these fields):
WFPRVY - Year-to-Date Produced Value (with Value of transaction)
WFPRVQ - Last Quarter Produced Value (with Value of transaction)
WFPRQY - Year-to-Date Produced Quantity (with Quantity of transaction
WFPRQQ - Last Quarter Produced Quantity (with Quantity of transaction)
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is SUBTRACTED from the above fields.
For transaction codes E35 and E37 where usage code is P - produced
Calculation if the part is not configuration costed:
|
(MUCFL + MUCFM + MUCFO)*
|
X
|
Transaction Quantity
|
=
|
Value of the transaction
|
|
from the Part Master File (DE100M)
|
|
from audit trail file
|
|
|
* MUCFL - Standard Labor Total Cost
* MUCFM - Standard Material Total Cost
* MUCFO - Standard Overhead Total Cost
Calculation if the part is configuration costed:
|
Standard Total Cost
|
X
|
Transaction Quantity
|
=
|
Value of the transaction
|
|
from the Configuration Code Master File (EC140M)
|
|
from audit trail file
|
|
|
Fields on IC280M updated (quantity/value added to these fields):
WFPRVY - Year-to-Date Produced Value (with Value of transaction)
WFPRVQ - Last Quarter Produced Value (with Value of transaction)
WFPRQY - Year-to-Date Produced Quantity (with Quantity of transaction
WFPRQQ - Last Quarter Produced Quantity (with Quantity of transaction)
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is SUBTRACTED from the above fields.
For transaction codes E35 and E37 where usage code is C - consumed:
Calculation:
NONE
Fields on IC280M updated (quantity subtracted from this field):
LFQPXX - Quantity for current period with Quantity of transaction (XX is current period as calculated from Reference File category C23)
Note: If the transaction is a reversal, the quantity/value is ADDED to the above fields.