Currently, the Fiscal Year Evaluation for Production BOM items utilizes either a weighted average or average component cost calculation. This approach forces the FIFO cost to reflect the average cost of the components, which may not align with specific business requirements or accounting practices.

To address this limitation, I propose enhancing the Item Costing Setup by introducing additional costing methods, such as FIFO (First-In, First-Out) and LIFO (Last-In, First-Out).

Providing these options will allow greater flexibility and alignment with diverse operational and financial strategies, ensuring more accurate and customized cost evaluations for production BOM items.

This improvement would not only enhance the precision of cost tracking but also meet the varying needs of different industries and businesses.