WIP Reevaluation (R30837)

[hsiao_te_wang]

Hi Lists,

Like to know if anyone uses the function of R30837 ? I have tested on my standalone (9.0) for different scenarios but each time can not explain/understand the entries come out by R30837.

Questions are:
1. Any circumstances we have to use R30837 ?
2. R30837 is based on the CCFL flag in F4105 of items and trace back the open WO (PPFG <> 3 in F4801) which has these items, and to reconcile the WIP account of those WOs. However, R30837 is calculated and summed up all cost type (A1, B1, B2, C1.....)together. Detailed reasons of cost changes (by material, routings, w/c rate...)will be all summed up by the same entries we set in AAI 4136, is these make any sense ?
3. If R31804 can specify all reasons of variances to against the WIP accounts, why R30837 needed ? Or R30837 is only to clarify the other variances (AAI 3280) ?
4. When is the timing to run R30837 ? Bundle with R31804 make sense to me but called by R30835 or run it independently make things more confusion ?
Need your comments since I may have incorrect understandings of R30837. Thanks !

Regards,
John Hsiao, 9.0/8.98

 

[Manna]

Hi there,

Hope below make sense to you.

1. When your cost component in the work order was changed, the R30837 should pick up the change and recalculated the value in WIP. Hence, it reflects the real cost of WIP and the unit cost of the parent item.
2. Yes that make sense. The cost change is actually the revaluation of you stock. So one side is charged to your WIP account(s) and the other side is charged to your cost revaluation account which you set up in DMAAI.
3. The entries was according to the value in F3102 to calculate the change. Variance is to compare your work order consumption to your cost component set up. If you're using the actual cost, it reduces the variance of inventory. If you're using the standard cost, it reduces the variance in expenses.
4. When the cost was changed, the cost frozen update R30835 would update your cost by item in both F30026 and F4105. So R30835 calls R30837 to update the inventory in the "air" (WIP is not in your inventory ledger) in order to ensure the WIP to be completed as per the cost updated in inventory by theory. It will reduce the hazzle of cost analysis.

Cheers,
MC