Hi all
Anybody know about Lot price or maybe already use it as an inventory valuation method?
We consider to change from fifo to lot price.
How does this lot price work, for manufacturing item?

thanks alot & rgrds
quelle

For purchased items lot price works fine and enables users to get the online stock valuation at actual purchase cost (tdilc0401m000 ) (if u dont use surcharges ) and tally the same with postings in finance . U can track the variances at the time the purchase prices is varied or at the time it is consumed (as againtst FTP in which it is calculated at the time of purchase or at time purchase price is varied ) .

For manufactured items , I remember prduction receipt is calculated at standard cost and not actual cost . Please do good testing before u put it to use .

Hi,

I would just like to add word to what Hitesh had said. In case of manufactured items, in case actual costing is enabled, it does takes it on the basis of actual cost instead of Standard Cost.

Regards

Navin Tenani

Hi,

I would just like to add word to what Hitesh had said. In case of manufactured items, in case actual costing is enabled, it does takes it on the basis of actual cost instead of Standard Cost.

Regards

Navin Tenani

What i mean, material cost of lot priced components is taken at standard cost and not actual lot price (which one would also expect for perfect actual costing ) .

Hi all
Thanks for ur response.
i did some test.
eg:
I purchase Item code RA1 lot code no 1A qty :
1. 100 pcs @ 1 USD= 100 USD
After i receive this purch order, the lot price is recorded as 1 USD.
2. 100 pcs @ 2 USD = 200 USD
After i receive the second one, the lot price is still 1 USD,but it create a Lot Result.

Then i issue for a Sales Order , 150 pcs.
If i use FIFO, then the consumption value should be
100 pcs x 1USD= 100 USD and 50 pcs x 2 USD = 100 USD
Total = 200 USD.

But in Lot price, the consumption value is
100 pcs x 1 USD = 100 USD and 50 pcs x 1 USD = 150 USD.

So its gonna be a problem if we want to track the inventory valuation value movement history.

For manufactured item (in our client) , its impossible to do just more one receipt for one lot.
And also, theres a big possibility, that the material and hours data, may be has to be inputted later after report order complete.
I guess i still need to do alots of test for this.


Any comment?

Lot result is nothing but variance between standard and actual cost . But it's calculated at the time of issue or purchase price change in tfacp1140s000 or tdpur4122m000 . So if u check the postings in finance report of tfltc0401m000 , the stock value will be actual purchase price .

I also recommend u do good testing o this .

Hi Hitesh.
Thanks for your update, Im using FP3, but can not find session tfltc0401m000, can you tell me how to find that session from your menu browser tree?

Dont know abt FP3 . In Baan IV it's tdltc0401m000 .

Similar topic here..

We typically use the session Perform Inventory Valuation by Item to get a total cost of on hand inventory. However we have found that some items are set to "Lot Price" and the on hand quantities and values of those are not inculding in the Inventory Valuation Report only FTP items seem to be included?

Anyone know of a Baan report that will calcuate the on hand inventory quantities and values for both FTP and Lot Price Items together? Not just at the time of printing but value in the past by date like the inventory valuation report?

Hi Jason,
Even in FP5 ,its still the same.
Maybe u can create some customize report to get those data.

tdltc0408/1m000 gives current valuation . U can use table tdilc301 , tdltc102 and tfgld410/8 to get back dated report as well in a customized session.

I also see, if im using the same lot for different production order, the amount is alwaus read the first receipt value.
Any one can explain, whats the effect in costing, if this happen?
User can always make mistake about this.