Create a Cost Scenario for Regular Items

You can define the cost scope for cost organization and cost book combinations by using a cost scenario. While planning costs, you can define separate cost scenarios for regular items and configured items.

If you’re using a periodic average cost enabled cost book, then you can define only one cost scenario for a cost organization, cost book, and period combination.

1. In the Cost Accounting work area, click the Manage Cost Scenarios task.

2. Click on the Add icon.

3. On the Create Cost Scenario page, enter a name for the cost scenario and select the appropriate Cost Organization and Cost Book.

   If you select a periodic average cost enabled cost book, then you can save the cost scenario after performing this step. Tasks mentioned from step 4 onwards aren’t applicable for a periodic average cost enabled cost book.

   1. Select the Period for which you’re creating the cost scenario.

      You can select only a period that’s in the open, pending close, or never opened status. The effective date for the cost scenario is automatically set to the first day of the selected period and the scenario type is set to Regular Items.

   2. Click Save and Close.

4. Select the Effective Date for the cost scenario.

5. Select Regular items as the Scenario Type.

6. Select the cost rollup scope to identify the items for cost rollup.

   If you set the rollup scope as Selected Items or Selected Item Categories, then click the Add icon to search and select the required items from the Select and Add: Items dialog or the Select and Add: Item Categories dialog respectively.

   If you set the rollup scope as Where Used, then the Use Latest Work Definitions parameter is ignored.

7. Specify whether the cost rollup is for a single level or not.

   The Single-level Cost Rollup parameter is available only when you set the Rollup Scope as Selected Items or Selected Item Categories.

8. Define the criteria to select the work definitions for the cost rollup by using these parameters.

   Field	Description
   Use Latest Work Definitions	Select this check box to ensure that the Roll Up Costs process checks for the latest work definition changes from Manufacturing. If not selected, the process uses the work definitions used to calculate the cost of make items in the prior published scenarios, instead of using the latest work definitions that are active on the scenario effective date.
   Work Definition Priority	The priority determines which work definition must be used to calculate the costs when multiple work definitions exist for a make assembly. Define the priority for selecting the work definition by using any combination of these options: Top production priority Top costing priority Work definition name When you select multiple options, you can reorder them using the up and down arrow buttons.
   Work Definition	If you selected Work definition name for the Work Definition Priority parameter, select the work definition that the Roll up Costs process must use.

9. Click Save and Close.

After you create a cost scenario, you can define the material, resource, and overhead rates in the cost scenario. Then, you can manually run the processes such as Roll up Costs and Update Standard Costs from the cost scenario.

If you want to make changes to the published costs, you can run the Undo Cost Update process after you have published the costs. The costs can be unpublished and changed only if they haven't been used for costing transactions.

Note: For a periodic average cost enabled cost book, you cannot update the cost scenario: