Business Scenario

Companies using standard cost as valuation method need to show a history of prices for the year end audit. If active prices are set up, the form "Product information management > Products > Release products > Manage cost > Setup > Item price" shows this history of prices by item.

Problem

If you calculate item cost (e.g. "Product information management > Products > Release products > Manage cost > Setup > Item price > Calculate item cost"), pending prices are also used. Pending prices can be deleted or changed and there is no history. Companies are not able to explain calculated prices during audit, if the pending price has been deleted or changed.

Proposed Solution

Create a parameter that allows to include or exclude pending prices when calculating item cost.

Benefit

Companies can decide to use both prices or just active prices. If only active prices are used, a clear price history can be shown by item and the standard cost calculation will not include any pending prices.