Actual Costing

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Actual Costing

• By MIS Department

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What is Actual Costing?

• Costing done by MG or the Factories is an
  estimate only
• Once the goods actually ship, Imports receives
  invoices for the various costs on the shipment
• The Warehouse receives the goods and compares the
  receiving to the shipment records
• When the invoices from the vendors are PAID, the
  cost of the goods must be updated to reflect the
  ACTUAL COST.

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Actual Cost Sheets

• Actual Cost sheets are created when receipts are
  entered into RLM
• There is one actual cost sheet per shipment
• Each actual cost sheet contains component costs
  such as FOB, Freight and Duty
• All the component costs that exist for a shipment
  must be actualized.
• (Skip to Main Menu)

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Glossary of Training Terms

• The following terms will be used throughout this
  training program
• Field A box on the screen into which you enter
  information
• Value The information (data) being entered in
  the field. Example Division number, FGPO number
• Icon An image you may click to perform a
  function such as select, submit or exit
• (Single-)Click Also Select. Hitting the left
  mouse button once. This will activate an icon or
  select a row in a list of values
• Double-click Hitting the left mouse button twice
  o the same part of the screen. Used only to
  select and return a value from a list.

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Using the RLM System

• These are the primary RLM icons you will use
• Search Located next to entry fields. Clicking
  this icon brings up a pop-up window with a list
  of all possible values for the field (for
  example, the next to the Division field will
  show a list of all divisions) (Shift-F9 keys or
  F21 key)
• Select Located on the Search pop-up windows.
  You may click on a line and click Select to
  return its value to the main screen
• OK (Submit) Located in the bottom right
  corner of each screen. Processes the information
  on screen and brings you to the next screen
• Return (Back) Located at the top of each
  screen. Click this icon to go back one screen (F2
  key)
• Exit Located at the top of each screen.
  Click this icon to return to the menu or close a
  pop-up (F3 key)

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Sign On
Enter your User ID and Password here
Note User ID and Password are initially assigned
by MIS. You will be prompted to change it the
first time you login. The password field IS
case-sensitive.
Click OK
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Welcome
Click the check (or hit the Enter key) to proceed
Click here to proceed (Enter key)
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Select Application
Enter the Company number (JEI 01, DS 04)
Click the Actual Costing button in the menu
(position may vary)
If you dont enter a Company or enter the wrong
number, you will receive this error Click OK
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Select Shipment for Costing
Notice the GL Period Date
Click here if the GL Period is incorrect
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G/L Period Password
Type the password press enter to bring up the
period edit fields
Update the Accounting Period Month and Year
Click OK to update. You will have to click Return
(F2) to go back
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Select Shipment for Costing
The Operator ID for Actual Cost entry is always
_at__at_
Click Continue
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Batch Control for Actual Cost Sheets
The list of unfinalized actual cost sheets
appears. If at least one component cost is
unfinalized, the cost sheet will appear here.
Double-click on a line to enter that actual cost
sheet
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Actual Cost Sheet
The Actual Cost sheet is an estimate pulled from
the cost of the POs on the shipments. You may
update the values here.
FOB for related factories/vendors is always
automatically approved there is no need to
actualize it. For non-related factories or
vendors the A will not appear so you can update
the cost
Type S on a row in this column to select a
specific invoice to assign to this batch
Click OK
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Select Vendor
Type the vendor number or click the icon to
select from a list
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Apply Invoice to Component
Type the invoice number or click the icon to
select from a list
Double-click an invoice to select it, or
single-click and hit the button
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Submit Selected Invoice
Notice that the monies value has been filled in
Click OK
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Invoice Added
The invoice information and value has been added
to the list
You may add multiple invoices to the component
cost by repeating the search/entry process
The Variance must be zero in order to continue
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Remove an Invoice
To remove an invoice from the list, select it
Click OK to remove the line
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Apply Invoice(s) to Division(s)
Click Apply Monies to Division when done
The division value(s) will change
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Actual Cost Sheet
Type Y to allocate the cost over all POs on the
shipment. Type N if the cost is only for one
style. See Editing and Finalizing
Type in or update the actual freight and duty for
the shipment in the Value column
Click OK
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Balance the Batch
Continue adding actual costs until all costs are
entered. When ALL the costs for the shipment have
been entered, you may balance the batch.
Click Balance this Batch to complete the Actual
Costing it will no longer appear in the list of
shipments
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Batch in Balance
Entry Totals are calculated from the individual
style cost sheets
The total Variance should be 4.00 or less (due
to rounding)
Hash Totals are from the Actual Cost sheet
Click the printer to print the batch and the
style cost sheets
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Batch Out of Balance
A variance larger than 4.00 will put the batch
out of balance
Click Return and adjust the Hash Totals. Allocate
over all the styles and re-balance
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Balance Batch Error
If either of these errors appears contact MIS
immediately
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Actual Cost Sheet
Once the batch is in balance, approve the cost
lines
Type M here on each line you modified to
Approve it
Click OK
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Cost Lines Approved
These three columns are now updated with the
date, your user id and the GL period
You may remove the M to change the line as long
as the GL is the same or prior
Click Balance this Batch again
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Finish Balancing
Click the scales to finish the balancing and
remove the Actual Cost sheet from the batch list
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Editing and Finalizing the Style Cost Sheets

• It may be necessary to edit and finalize the
  individual style cost sheets that comprise the
  actual cost batch
• Editing of the individual cost sheets should only
  be done if a portion of the cost for one style is
  NOT to be allocated over all the styles in the
  batch
• Be sure to type N in the Alloc Y/N column for
  that cost line on the Actual Cost sheet
• If style cost sheets are not finalized, LDP Cost
  will not print on the actual cost sheet
• If you change one style cost sheet, it is best to
  re-finalize all the styles.

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Actual Cost Sheet
From the Actual Cost Hash screen, click
Display/Select Styles
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Select Style Cost Sheets
Select a line for editing. Drag the mouse down to
select multiple lines
Right-click and choose Select for Cost Sheet
Entry
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Edit and/or Finalize (Step 1)
You may edit the cost here if necessary
Use the Page Down key or click the small double
arrow to view more lines on the cost sheet
Click Finalization when done
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Finalize (Step 2)
Click Continue Finalization
Since all style cost sheets were selected, the
next cost sheet will now display. Return to
Finalize (Step 1) until the screen returns to the
list of styles. See next slide
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Finalization Status Codes
When you finalize a cost sheet the YNF field
displays F
If you enter a cost sheet and do NOT finalize the
YNF field displays Y
All style cost sheets should be finalized before
you Balance the batch
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Combine Batches
Sometimes it may be necessary to combine batches,
for example in the event of a manual receiving
after the initial receiving was closed, or if two
shipments share one duty or freight bill.
Type a C on the line of each batch that will be
combined into the new batch
Click Combine Selected Batches (F9)
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This will not work if you have already processed
bills on the batches.
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What Happens Next

• The Actual Costs are approved and removed from
  the Batch list
• Actual Cost of Inventory will be posted to the
  General Ledger at the end of the month when the
  Inventory Post is run.