COMPUTE INVENTORY BURDEN RATES

Use this screen to generate actual and target year-to-date burden rates for selected ranges of accounts and organizations. This process is similar to Compute & Print Pool Rates screen (Projects » Cost and Revenue Processing » Cost Pool Processing & Reporting) except that the system computes inventory burden rates by pool type (such as fringe or overhead) rather than for each pool. Once computed, the rates are stored in the INVT_BURD_SUM table. Costpoint will use these rates to value inventory burden for purchased inventory and manufacturing work-in-process/finished goods inventory. Your cost pool configuration determines how your costs will be burdened. The inventory settings in Costpoint Inventory determine when raw materials will be burdened. For more information on inventory, please see the documentation for Costpoint Inventory.

If you do not have Costpoint Inventory and Costpoint Production Control, or if you do not want to include variance amounts on your inventory, this process is not required.

When building composite rates by pool type, this application does not consider hours-based cost pools. It does not consider burden cost ceilings when building the composite rates and will not build composite rates for Cost of Money (COM).

If you selected the Exclude Burden from Asset Inventory check box in the Cost Pools screen (Projects » Cost and Revenue Processing » Cost Pool Setup) for a particular cost pool, this application excludes from its calculations any accounts that are classified as "asset" (ACCT.s_acct_type_cd = A) in the Maintain Accounts screen (Accounting » General Ledger » Accounts). 

If your company uses Costpoint Inventory and Costpoint Production Control, execute this process every period immediately after running the Compute & Print Pool Rates process.

Select Accounts

Use the fields in this group box to limit the accounts that will be included in the calculation.

Range Option

Use this drop-down list to select the accounts to be computed. Valid options are:

Please note that only those accounts used in inventory abbreviation numbers are available for selection.

From

Enter, or use to select, the starting account for the range you want to include in the compute process. If you select All or From Beginning in the Range Option field, this field will be inactive.

To

Enter, or use to select, the ending account for the range you want to include in the compute process. If you select All, One, or To End in the Range Option field, this field will be inactive.

Select Accounting Period

Use the fields in this group box to select the fiscal year and period for which inventory burden rates will be computed. Note that only year-to-date rates for both actual and target will be computed for the period selected.

Fiscal Year

Enter, or use the drop-down list to select, a valid fiscal year. Note that the fiscal year must have an O (Open) status.

Period

Enter, or use the drop-down list to select, a valid period for which you want to compute inventory burden rates.

Clear Prior Years Data

Select this checkbox to clear the rows from the INVT_BURD_SUM table for all years before the selected fiscal year.

Select Organizations

Use the fields in this group box to select a range of organizations for which you want to compute burden. Inventory burden rates will be computed for the account/organization combinations selected.

Range Option

Use this drop-down list to select a range of organizations to be computed. Valid options are:

From

Enter, or use to select, the starting organization for the range you want to include in the compute process. If you select All or From Beginning in the Range Option field, this field will be inactive.

To

Enter, or use to select, the ending organization for the range you want to include in the compute process. If you select All, One, or To End in the Range Option field, this field will be inactive.

Compute

Click the Compute icon on the toolbar to compute inventory burden rates.

Table Information

Changes to this screen update the following tables:

INVT_BURD_SUM

INVT_BURD_SUM_DETL