The ACT – Actual Costing module is based on the COM – Cost Object Management module and provides a means to calculate the actual cost for internally manufactured products (semi-finished and finished products) in terms of production controlling. The calculation of actual costs for purchased items in ACT utilizes the information obtained from Financial Accounting FIA and the integrated invoice auditing module IAU.
ACT calculates all increases in inventory, such as purchased material, semi-finished and finished products, as effective actual costs and valuates the decreases in inventory at the current periodically weighted actual costs. ACT evaluates the inventory using the actual costs calculated on this basis and represents it in a freely defined degree of detail (such as item, warehouse, or location). Within this process, ACT fully differentiates cost prices respectively manufacturing costs by cost types (cost buckets) for all production levels. The following functions are covered and/or supported:
- Calculation of period specific average purchase costs for all purchased items (based on information from Financial Accounting)
- Automatic update of prices differentiated by cost types (value of goods, delivery costs, etc.)
- Detailed log concerning the purchase price history (statement of all receipts with quantity and costs).
- Optional transfer of all entries at actual prices (COM and/or PRM) for the calculation and further processing of purchase price variances.
- Calculation of periodic average manufacturing costs for all manufactured items.
- Calculation of actual costs for manufactured items appropriate to levels, taking into account the Bill of Material structure of the shop order (amendments to the Bill of Material, additives, re-uses, etc.).
- Log of the development of average manufacturing costs by period across all production levels.
- Valuation of all retirements in a period at the calculated average costs (sales, respectively all other issues not connected with production).
- Free selection of average price calculation cycles (month, quarter, half-year, year).
- Optional test runs to simulate the average cost trend.
- Automatic recording of all items for which the price variance exceeds an individually definable tolerance limit.
- Post-calculation of orders based on actual costs
- Periodical evaluation and presentation of inventories based on actual costs
