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Costing Activation Error

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Posted on by KateG

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I am getting the following error when using Standard cost. I am not sure what I am missing:

Item PL0002 inventory model is at standard cost, you can only activate a standard cost costing type. Activation has not been performed.

Any assistance is apprciated.

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AR-01121610-0 4,969 Moderator on at

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Hy KateG,

pleas check the model on your "costing version setup", this needs to be alligned to your "Item model group".

Item model group:

Costing Version:

Hope this helps.

Herzliche Grüße / kind regards,

Andreas Raithel

D365FO Solution Architect

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Hana Xue Microsoft Employee on at

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Hi,
You can also refer to an old thread about this issue. Solved: You can only activate a standard cost costing type (dynamics.com)
Best Regards,
Hana

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Nigel J Cox 40 on at

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Team: Please test but I believe this refers to the type on the Cost Version rather than the item. The two choices are Standard cost and Planning. Planning is for "What-if" costing and cannot be activated. I believe you CAN activate a cost for any non-Service item regardless of Item model group cost type. Now, it won't drive GL costing unless the item is a Standard cost item. For all Actual cost items, the actual supply cost will be used. The one exception is if you ADJUST or Cycle count additional inventory on an Actual cost item, the system does not know what cost to use. It WILL use any Activated cost for that Site. If there is not one it will use the value on the Item master "Inventory cost".

BEWARE: If there is no Activated cost and nothing entered on the Item master it WILL USE ZERO! It might be nice if it used the calculated actual cost of existing inventory, but you would still have an issue if there was no inventory (or even worse negative on hand!!) before the adjustment/positive count.

It may mean extra work, but I generally advise always having an Activate cost on any Released product even though it is only required for Standard cost items. I know it is extra work. For actual cost items that cost will be there for adding inventory. but also, it may be valuable for Analytics and comparison to Actual.

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