Standard Cost Revaluation and Manufacturing Order WIP Report

Question:


Does the Standard Cost Revaluation for Manufacturing Revalue open Manufacturing Orders?


Ansnwer:


The Standard Cost Revalue does not recost previous activity, the most likely area of concern would be Partial Posts on open Manufacturing Orders. It will revalue allOn Hand inventory by creating a General Ledger Entry for Finished Goods and your Inventory Revalue accounts, but it doesn't create an entry for In Use inventory. During the Manufacturing Order Close, it will create a General Ledger Entry for a cost Variance equivalent to the Standard Cost Changes. Bottom-line is that the WIP Report will be the samewhether youprint the report right before or right after a Standard Cost Revalue.


Buy items that are revalued do get updated into WIP at time of Revaluation.








This article was TechKnowledge Document ID:20715