Revaluing Costs
When costs change, sales order item costs and work-in-process (WIP) material costs are not revalued automatically.
Revalue Sales Order Costs
Use Sales Order Cost Revaluation (7.1.12) to change the sales order line- item cost when the prevailing GL costs are changed. Gross margin reports then reflect the proper difference between GL cost and selling price.
Since the system costs items for COGS purposes at the time of shipment, post any unposted invoices before running the cost revaluation program.
Revalue WIP Material Costs
Use WIP Material Cost Revaluation (16.22) to change the cost of material in work-in-process (WIP) when the prevailing GL costs are changed. You can control the revalue process by a range of accounts, sub‑accounts, cost centers, projects, work orders, or item numbers. Specify the date for the GL transactions created, or use the default system date.
The output from the revaluation program is a two-part report. The first part shows the before and after data for all work order components regardless of whether cost changes were made. Part two shows the detailed GL transactions resulting from the revaluation.