change from Standard to Actual Costing in OPM

change from Standard to Actual Costing in OPM

To change from Standard to Actual in OPM you will need:

• New Cost Method Code
• New Cost Calendar for the company, linking to the new cost method code
• Make sure that the first period in the new actual cost calendar has the same end date as the last period in the standard cost calendar (particularly if you are using PMAC)
• Copy the standard cost for the last standard cost calendar period to the first period in the new actual cost calendar
• Close out the last period of standard costing by sending all the outstanding inventory transactions to GL, and close the OPM inventory period 
• Change the MAC fiscal policy to point to the new cost method code
• Change the event fiscal policy for PORC to book at PO Price
• Perform inventory transactions as normal during the new cost and inventory period
• Then when you run Actual Cost process for the first period of going live with actual costing (which will be the second period in the new actual cost calendar), you will have a prior period cost to value the period end inventory within the PMAC calculation.