Item Cost

Dear All,

We are using ORACLE R12.1.2. DB:11.1.0.7

Implemented modules: AR, AP, Purchasing, Inventory, GL, Advanced Pricing, Order Management, Landed Cost.

Organizations          Costing Method          Landed Cost Enabled

Raw                         Average                         Y

Package                   Average                         Y

Finished                    Standard                       N

expense                    Average                         N

Costing section head is asking many questions regarding the P2P cycle.

I will start with the first question which related to invoice and PO variances :

Assuming we have Raw Item (XYZ). Initial Quantity= 100. Initial Cost: 10.

We are going to buy XYZ item by Create and approve PO, Receive the item, Enter and Match an AP invoice.

1. What is the cost for Raw item XYZ in the following Cases: