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  • Subject: Help!!! with Cost Accounting
  • From: "Lu Festas" <ylufe@xxxxxxxxxxx>
  • Date: Thu, 16 Apr 1998 05:46:48 PDT

Hi folks,
   I need help - some information about the following:

   I have a serious problem with Cost Accounting. My client needs to use 
FIFO costing, which CST doesn't do. CST only uses Average Cost and  Last 
Cost method, but there's no way I can convince them to use one of these. 
What I mean by FIFO costing is something as follows:

   Imagine we have a product "A" with zero quantity and value.

   I buy 100 of "A", and I pay $500, $5 per each   (16/04),
   I buy 100 of "A", and I pay $550, $5.5 per each (17/04),
   I buy 60  of "A", and I pay $490, $4.9 per each (20/04).

   Now (21/04) I need to use "A" in a shop order. I'll use 120 of "A". 
The cost of this must be: 100 x 5 + 20 x 5.5, respectively the first lot 
(16/04) and 20 from the second lot (17/04).
   If I need to use more 90 of "A" after, it will cost as follows: 
80 X 5.5 + 10 x 4.9 (respectively the rest of the second lot and 10 from 
the third lot).

   We are currently on AS/400 - 6.0.02 Mixed Mode PLF (prototyping) and 
we will probably change to 6.0.04 Mixed Mode before going live.

   I would appreciate any help or suggestion. I would prefer not to 
change CST (customization) but find a product which did the same as CST 
(or more), plus FIFO costing, and preferably one which could connect to 
BPCS.

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