What are the steps to be taken before you execute an actual costing run?
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What are the steps to be taken before you execute an actual costing run?
The following are the steps to be taken:
1.) Execute all the allocation cycles in the cost center
accounting module.
2.) Execute actual activity price calculation.
3.) Revalue all the production orders with the actual activity
prices. The under or over absorbed cost on cost centers are
passed on to the production order through this step of
revaluation of production orders.
4.) Calculate overheads, do a variance calculation and finally
settle the production order.
5.) Finally execute the actual costing run.
michael_fico- Posts : 163
Join date : 2012-03-23
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