• Periodic Costing calculation processes in the order of purchased items (components and raw materials) first, then subassemblies, and finally finished goods items. It looks at all component issues to determine the correct order so that the cost of components are always determined before it calculates the cost of the parent item.

• Periodic Costing calculation processes each item through all the sites where it is used before moving on to the next item.

• The logic determines the site-processing order by looking at the quantity transferred between sites. The system processes sites with the most intersite issues before the sites with more intersite receipts. When using grouped sites, the system considers each group of sites as one for the purpose of this logic.