EAM Accounting

Hi,

According to our business scenario the Work Order cost can either be capitalized ( completely or partially) or can be expensed out. For the purpose of Work Order capitalization we our configuring the accounts as follows: (I am only considering material cost in the following example):

Entry at the time of material issuance:

Dr:     EAM WIP Material Valuation account
Cr:     Material Valuation (EAM Org parameters)

Entry at the time of Work Order close:
Dr:     EAM WIP Material Variance account = Asset Clearing account = Offset A/c
Cr:     EAM WIP Material Valuation account

Entry at the time of post mass addition:
Dr:     Asset Cost account