Cost Calculations > Exercise 5
  PPT
Exercise 5
Check Standard Order Quantity for Item
1 In the Order Qty field of Item Planning Maintenance (1.4.7), add a standard order quantity of 10 to item 01010. This is the number of units that the cost of setup time is spread over.
Calculate Amount of Labor, Burden, and Subcontract Costs for Manufactured Items
Important: Manufactured components must be calculated first.
2 Use Routing Cost Roll-Up (14.13.13) to roll up the routing cost.
 
Field
Data
Site
10-100; click Next
Cost Set
Current; click Next
Item Number
50001 to 50001; click Next
 
Field
Data
Site
10-100; click Next
Cost Set
Current; click Next
Item Number
01010 to 01010; click Next
Use the default settings for all other fields and update.
Note: This function does not generate any output.
3 Use Item Routing Cost Report (14.13.15) or Item-Site Cost Inquiry (1.4.10) to verify that the standard costs were correctly calculated for labor and burden.
Calculate Amount of Lower-Level Material, Labor, Burden, and Subcontract Costs
Important: Manufactured components must be calculated first.
Use Product Structure Cost Roll-Up (13.12.13) to roll up the product structure. Key fields to populate are:
 
Field
Data
Site
10-100; click Next
Cost Set
Current; click Next
Item Number
50001 to 50001; click Next
 
Field
Data
Site
10-100; click Next
Cost Set
Current; click Next
Item Number
01010 to 01010; click Next
Use Item-Site Cost Inquiry (1.4.10) to check to see if your standard costs were correctly calculated for lower-level costs.
Important: If your rolled up costs are incorrect, the error has its source in one of the data elements you added. Review your entries in the work center, the product structure, the routing record, and the item planning data. Check these values against the values shown in the example screen shots.