What is the difference between current cost and standard cost of a product?



A product/service record in FieldOne Sky has two fields for cost: Current Cost and Standard Cost. Both of these fields can be utilized when creating price lists.  

A screenshot for this scenario.

What is the difference?

At its simplest, Current Cost is the actual cost of the product whereas Standard Cost is an average over time.

A screenshot of the Current Cost.

A little more detail:

Current Cost = The last cost that was used to record an increase in inventory quantity. This could be through an adjustment, receipt or variance, but not a return. If you are using the Average Perpetual inventory costing method, then the current cost is calculated as the average cost.

Standard Cost = This is a cost that YOU enter. The only way this cost changes is if you open up the product and change it, or use the year-end close routine to update all of the standard cost items to equal their current cost.

Article ID: 3132223 - Last Review: Jan 13, 2016 - Revision: 1