Cost Identification

You generally post inventory at an amount that reflects the price paid plus all costs incurred to bring the items to the location and to make them salable.

In some distribution industries, especially energy and chemical businesses, the actual purchase cost from a supplier might not be known at the time that the items are received into the inventory or only become known after you issue a voucher for payment.

The JD Edwards EnterpriseOne system enables you to update, or recost, these open receipts and paid vouchers, which ensures that the value of the stock is represented by the actual cost.