Overhead Allocation
The JD Edwards EnterpriseOne standard functionality of the JD Edwards EnterpriseOne Advanced Cost Accounting system is used to calculate the tracking of indirect manufacturing costs by product. The JD Edwards Enterprise One Advanced Cost Accounting system performs overhead allocation, or cost object tracking. For this reason, the scope of this localization consists in sending the costs obtained by product through the JD Edwards EnterpriseOne Advanced Cost Accounting system to the F30026 table.
The allocation of these cost components of products in progress and manufactured products must be performed through the JD Edwards Enterprise One Advanced Cost Accounting system for the period in which the actual cost process is run:
Actual labor expenses
Actual machinery costs
Actual costs
All costs considered necessary can be distributed in order to obtain the cost of products in progress and manufactured products, such as electricity costs.
Depending on the setup used for the expense allocation in the JD Edwards Enterprise One Advanced Cost Accounting system, the results of the expense allocation by item is recorded in the F1602 table or in the F1642 and F16421 tables. The localization of overhead allocation consists of sending information from those files to the F30026 table.
The JD Edwards Enterprise One Advanced Cost Accounting system provides a broad functionality to perform the expense allocation per item. Through the JD Edwards Enterprise One Advanced Cost Accounting system, a unit cost must be obtained by product cost concept.