Process Manufacturing - EBS (MOSC)

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Batch Close Variance not getting generated using PMAC

edited Aug 26, 2014 11:13AM in Process Manufacturing - EBS (MOSC) 8 commentsAnswered

Hi

As per metalink note 1309110.1, batch close variances can occur in the following situation when using Actual Costing:

If the batch was released in one cost period and the debit to WIP is valued at one cost, but the batch was completed in a later cost period when the credit to WIP for the same quantities is valued at a different cost.  This results in a left over balance WIP due to the cost change and must be cleared out.


We have created a batch with the above scenario

Raw material (7709) is having cost of 0.21 in the Jul-2014 period and 0.96 in the Aug-2014 period.

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