Cost amount calculation -Item transaction-

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Dear All,

I want to know from where the column Cost Amount is calculated in the item transactions screen, is it using the AVG cost of the last closing? because i have different values by lines which are different from the item cost in the inventory value report.

Could you help me to understand well this part in Dynamics AX?

Thx

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Ludwig Reinhard Microsoft Employee on at

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Hi,

The issue prices should reflect your running average cost price that is adjusted with the next closing of the inventory.

More details how the prices and adjustments are calculated can be found here

fedotenko.info

Best regards,

Ludwig

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Community Member on at

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Thank you Ludwig for your reply, the document seems to be attractive for reading, i will start now!

But sorry I did not understand you very well, the running AVG cost should be the same as in the stock value report?

Thx,

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Guy Terry 28,970 Moderator on at

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Hi,

The Cost amount on the Overview tab there is the sum of Cost amount and Adjustment on the Update tab.

Assuming you are not using Standard Cost or Moving average, the Cost amount (Update tab) of those Sales order transactions is set when the Sales order invoice is posted, and is the running average cost price at that time. The Adjustment is set later, when you run an Inventory close or Recalculation.

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Community Member on at

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Thank you Terry for your reply, the adjustment after the inventory close is set compared to which cost?

Thx,

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Guy Terry 28,970 Moderator on at

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Inventory close matches the issue transaction (the sales transaction) to a receipt transaction (e.g. a Purchase order or Production order or Transfer order receipt). If the cost of the receipt transaction is not the same as the cost of that was assigned to the issue transaction (which was the running average cost), AX makes an Adjustment to the issue transaction. So the Adjustment is compared to the cost of the receipt transaction(s) to which the issue transaction was matched.

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Community Member on at

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Thank you Guy for your explanations, I create an item in the Test environement and I repeat all transactions and see the cost for every operation, now it is clear for me .

Thx

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