Under 4. LCM--> Updated list of Cost factors : Yet to receive.. It looks new to me. Could you please explain what does it mean? What types of factors and who will give? An Example please.
Under 1. GL-->Break up of fixed and variable cost related account codes: Yet to receive .. Account code will be given from GL.I can give you the fixed & variable portion of the list of accounts under PB3 (PLANT). But I am not sure whether you will segregate Head Office expenses as well into fixed & variable. Unless we do, Contribution Margin will be wrong.
1. Cost factors means the Landed Cost components (Bill of Entry- BOE, Insurance, LC Opening Charge).
2. Regarding the fixed and variable, my understanding is that we will be calculating the Product cost = Fixed + Variable based on the manufacturing overhead expenses (PB3). For calculation of Contribution margin if we have to include the HO cost, it will not be done by the costing routine and cam be managed outside, as we are not including the Head Office costs in product cost calculation. Please let me know if my understanding is not right.
Regarding Point No 3. If we are not able to get this from the Banks, Bank reconciliation and bank transfers for sweep entries (Depository to Mother’ Account and Mother to Manager Account bank sweep) will have to be handled through Manual Reconciliation and Manual Bank Transfers respectively.
Under 1. GL-->Break up of fixed and variable cost related account codes: Yet to receive .. Account code will be given from GL.I can give you the fixed & variable portion of the list of accounts under PB3 (PLANT). But I am not sure whether you will segregate Head Office expenses as well into fixed & variable. Unless we do, Contribution Margin will be wrong.
1. Cost factors means the Landed Cost components (Bill of Entry- BOE, Insurance, LC Opening Charge).
2. Regarding the fixed and variable, my understanding is that we will be calculating the Product cost = Fixed + Variable based on the manufacturing overhead expenses (PB3). For calculation of Contribution margin if we have to include the HO cost, it will not be done by the costing routine and cam be managed outside, as we are not including the Head Office costs in product cost calculation. Please let me know if my understanding is not right.
Regarding Point No 3. If we are not able to get this from the Banks, Bank reconciliation and bank transfers for sweep entries (Depository to Mother’ Account and Mother to Manager Account bank sweep) will have to be handled through Manual Reconciliation and Manual Bank Transfers respectively.
Updated list of Cost factors for OPM Costing under ERP
![Updated list of Cost factors for OPM Costing under ERP]()
Reviewed by Hosne
on
3:50 PM
Rating:
