Operation Cost Calculation
Operation Cost Calculation does a combined routing and product structure roll-up, creating a separate operation cost broken down by cost categories—material, labor, burden, and subcontract—and totaled by operation and routing code. This calculation does not have a direct GL effect.
Operation Cost Calculation
• This calculation does not affect item costs
• Operation Cost Calculation relies on accurate item costs, routings, and bills
• The resulting operation costs are used by:
• Repetitive Scrap Transaction to value scrapped items
• Repetitive WIP Cost Report to value WIP
