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Restriction of Standard Cost Roll-Up Impact on Existing FG Inventory Current Business Scenario

Requirement: Restriction of Standard Cost Roll-Up Impact on Existing Finished Goods Inventory

Current Business Scenario

During the Standard Cost Roll-Up process in Oracle Fusion Cloud Cost Management, the system is revaluing Finished Goods (FG) inventory that has already been completed and received into the Inventory Organization.

For example:

  • Item A is received into Inventory on 1st June with a Standard Cost of $100 per unit.
  • Available Inventory Quantity on 1st June: 10 units
  • Existing Inventory Valuation:  10 × $100 = $1,000

Later, a new Standard Cost is calculated through a Cost Roll-Up process, and the business wants to update the cost only for newly completed Work in Process (WIP) Finished Goods transactions received into inventory from 2nd June onwards

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