Improved Standard Cost Worksheet
Standard Costs are costs that would be generally required if the stock were to be replaced. They’re used to measure against benchmarks for production and purchasing.
The Standard Cost Worksheet is a standard feature within Microsoft Dynamics 365 Business Central. It allows the changing of standard costs as the purchase prices, Bills of Materials and manufacturing operation times change. However, standard doesn’t provide the functionality to calculate the new costs based on landed costs or average actual costs.
Advanced Cost Worksheet allows you to calculate new standard costs based on last landed costs or average landed cost. It also ignore items that are still going through their design stage and provides more information on the worksheet so that the new standard cost more accurately reflects the replacement cost.
Purchase Currency Variance
Advanced Standard Cost also simplifies purchase price variance calculations for standard costed items acquired in foreign currency and and keep track of the currency variance with ease.
A new variance account column is added to the General Posting Setup page that can help track the purchase currency variance on standard costing of items. This field is useful for businesses that use standard costing to calculate the cost of their inventory.
When standard costed items are purchased in foreign currency, this app splits purchase price variance into currency variance and price variance. By tracking the variance in the Purchase Currency Variance Account, businesses can gain insight into the accuracy of their standard costing and make adjustments as necessary.
To calculate the standard cost of an item traded in foreign currency, you can enter the adjustment factor into the new “Standard Cost Currency Factor” field in the Currencies page.
