Microsoft production costs

You can access detailed transactions about the reported consumption of material, routing operations, and indirect costs for a production order on the Production posting page. The variances reflect a comparison of the reported production activities and the calculation of standard costs for the production item.

The variances don't reflect a comparison to the production order's estimated costs. The production activities that are reported include the consumption of material and routing operations, together with the associated indirect costs, and the quantity that is reported as finished.

The following four types of variance are calculated:. The following diagram shows the four variances that account for the difference between a production order's actual costs and the calculated costs within the item's cost record when the production order is ended. You can analyze the production variances by using the Variance page or the Production variance report. Use the display options to view detailed variances by item and operations resource, or by cost group.

The policy for cost breakdown in the inventory parameters determines whether the variances are tracked by cost group. You can also use the single , multi , and total display options to view summarized variances. The information about detailed variances can help you understand the source of each variance. United States. Solutions for your busy life, confirmed. For home. Use Microsoft on your desktop, laptop, tablet, and phone. Pay annually Continue with monthly plan.

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