Cost Update

These processing options indicate whether the system updates costs before sales update, and the version of the Sales Price/Cost Update program, if applicable.

1. Update Costs

Specify whether the system updates costs before sales update. The system updates all selected sales orders with current costs, exchange rates, and prices before you create accounts receivable and general ledger records. The system does not update the costs on a sales order line that has had inventory relieved through shipment confirmation.

You might run a sales cost update if the purchasing or manufacturing costs change frequently or if orders have been in the system for quite some time before being updated. This update ensures that the system accurately calculates profit margins. Values are:

Blank: Do not update inventory costs for the item.

1: Do update all selected sales orders with current costs, exchange rates, and prices before creating accounts receivable and general ledger records using the version of the Sales Price/Cost Update program (R42950) that you reference in the processing options to update.

Costs are updated only if inventory was not relieved.

2. Sales Price/Cost Update Version (R42950)

Specify the version of the Sales Order Batch Price/Cost Update program (R42950) that the system uses to update costs before sales update. The default version is ZJDE0001. The system updates all selected sales orders with current costs, exchange rates, and prices before you create accounts receivable and general ledger records.

You might run a sales cost update if purchasing or manufacturing costs change frequently or if orders have been in the system for quite some time before being updated. This update ensures that the system accurately calculates the profit margins.

For interbranch orders, you must set the processing options in the R42950 program to update the price information and the exchange rate for both the supplying and selling branch/plants.