WIP Class Types

WIP Class Types

1. Standard Discrete
2. Repetitive Assembly
3. Asset Non-standard
4. Expense Non-standard
5. Standard Lot Based
6. Maintenance
7. Expense Non-standard Lot Based

Standard Discrete

(a)    Standard discrete accounting classes can be used to group job costs. For example, if you build subassemblies and finished goods, you can define your accounting classes so that you can separately value and report the costs associated with subassembly and finished goods production.

(b)   Standard discrete accounting classes can be automatically defaulted when you create discrete jobs.

(c)    When you define an accounting class, you must assign valuation and variance accounts to it.

(d)   When you issue materials to a job that uses this accounting class, the appropriate valuation accounts are charged.

(e)    When the job is closed, final costs and variances are calculated and posted to the variance and valuation accounts.

(f)    When the accounting period is closed, these journal entries are automatically posted to the general ledger.

Non-Standard Discrete

(a)    Non-standard discrete accounting classes can be used to group and report various types of non-standard production costs, such as field service repair or engineering projects.

(b)   For example to track recurring expenses - machine maintenance or engineering projects - with non-standard jobs, you can define and assign an accounting class with a type of expense non-standard to these jobs.

(c)    The valuation accounts carry the costs incurred on these expense jobs as an asset during the period and automatically writes them off to the variance accounts at period close.

(d)   On the other hand, if you use non-standard discrete jobs to track production costs as assets, you can define and assign an accounting class with a type of asset non-standard.

(e)    Asset non-standard discrete jobs are costed the same as standard discrete jobs.

(f)    Valuation accounts are charged when material is issued to a job and final costs and variances are calculated and posted to the appropriate variance and valuation accounts when the job is closed.

Repetitive

(a)    Repetitive accounting classes are used to group production costs and must be assigned to each repetitive line/assembly association that is created.

(b)   Every schedule for that assembly on that line uses these accounts.

(c)    The accounts are charged whenever you transact against the line/assembly association.

(d)   Repetitive accounting classes can be automatically defaulted when you associate repetitive assemblies with production lines.

(e)    You can analyze repetitive manufacturing costs by assembly regardless of the line on which it was manufactured by using the same accounting class for all lines that build that assembly.

(f)    You can use the same class for all assemblies on a line to do line based cost reporting or you can use a different accounting class for every line/assembly association.

Standard Lot Based

(a)    Standard jobs control the material, resources, and operations required to build an assembly and collect costs.

(b)   When you build lot based jobs, the standard lot based accounting class is used to separately value and report costs associated with yielded production at each individual operation on the routing.

(c)    You must assign valuation and variance accounts to it.

(d)   When you issue materials to a job that uses this accounting class, the appropriate valuation accounts are charged.

(e)    When the job is closed, final costs and variances are calculated and posted to the variance and valuation accounts.

(f)    When the accounting period is closed, these journal entries are automatically posted to the general ledger. If Estimated Scrap Accounting is enabled, both Estimated Scrap accounts are required. If this feature is not enabled, the Estimated Scrap account fields are disabled.

Expense Non-standard Lot Based

(a)    Non-standard jobs control material and collects costs for miscellaneous activity.

(b)   These jobs are used for expense work orders for testing, prototypes, and rework where operation yield costing is not considered.

(c)    You can perform all transactions (moves, jumps, scrap, splits, and update assemblies or routings) with the exception of job merge.

Maintenance

(a)    Maintenance accounting classes are used to group costs for work orders used in Oracle Enterprise Asset Management (eAM).

(b)   For example, if you are creating work orders for plant maintenance activities, you can define your accounting classes to separately value and report the costs related to asset.

(c)    Maintenance accounting classes are automatically defaulted when you create eAM work orders.

(d)   When you define an accounting class, you must assign valuation and variance accounts to it.

(e)    When you issue materials to a work order that uses this accounting class, the appropriate valuation accounts are charged.

(f)    When the work order is closed, final costs and variances are calculated and posted to the variance and valuation accounts.

(g)   When the accounting period is closed, these journal entries are automatically posted to the general ledger.