Lab - Analyze BOM costs by using the costing sheet

  • 20 minutes

Read this first - before you start the lab!

Important

For this lab, you CANNOT sign in with your own credentials. Use the following steps to sign in to your lab environment with the correct credentials.

  1. Ensure that you are signed in to Microsoft Learn.

  2. Select Launch VM mode or Sign in to launch VM mode in this unit.

  3. In the Resources tab on the lab side bar, select the T icon next to Password in the MININT box, to have the administrator password for the Virtual Machine entered for you.

    Screenshot of the administrator password.

  4. Select Enter.

  5. Microsoft Edge will open. Wait for it to navigate to the Sign in page for finance and operations.

  6. On the Microsoft Sign in page in finance and operations, place your mouse cursor into the Username field.

  7. On the Resources tab of the lab side bar, below the Azure portal heading, select the T icon next to Username, then press Enter.

    Screenshot of the Username field and the Sign in dialog box that appears.

  8. Your mouse cursor will now be in the Password page.

  9. On the Resources tab of the lab side bar, below the Azure portal heading, select the T icon next to select Password, then press Enter.

    Screenshot of the Password field the Enter password dialog box that appears.

  10. Don't stay signed in or store the password on the virtual machine.

  11. Select Accept in the Permissions requested page.

    Screenshot of the Permissions requested page.

  12. To see the lab instructions, select the Instructions tab on the lab side bar.

You can now begin your work on this lab.

Scenario

You want to set profit-settings to assist sales personnel in having an accurate sales price calculated after considering all costs for D0002 cabinet in the USMF company. Additionally, you need to analyze cost breakdown by viewing the costing sheet.

Calculate an accurate sales price for the D0002 cabinet

  1. In the USMF company, go to Product information management > Products > Released products.
  2. Use the Quick filter to filter on the Item number field with a value of D0002.
  3. In the list, select D0002 to open the Released product details page.
  4. Expand the Manage costs FastTab.
  5. Select M9 under Cost groups to open the Cost groups page.
  6. Select Edit.
  7. Set the Profit percentage to 40.00.
  8. Under the Profit section, select Add.
  9. In the Profit-setting field, select Profit 1.
  10. Set Profit percentage to 70.00.
  11. Select Save.
  12. Close the page.
  13. On the Action Pane, select Engineer.
  14. Under the BOM subsection, select BOM versions.
  15. Under the Bill of materials lines, select M0005 to open the Product information dialog box.
  16. Select M0005 in the Item number box to open the Released product details page.
  17. Expand the Manage costs FastTab.
  18. Select M2 to open the Cost groups page.
  19. Select Edit.
  20. Set the Profit percentage to 30.00.
  21. Select Add.
  22. In the Profit-setting field, select Profit 1.
  23. Set Profit percentage to 60.00.
  24. Select Save.
  25. Close the page.

Review the structure of the costing sheet

  1. Go to Cost management > Indirect cost accounting policies setup > Costing sheets.
  2. In the tree at the left, select Root\Cost of Conversion\COC-Material\COC - M2 - Cabinets comp.
  3. In the tree, select Root\Cost of Conversion\Overhead on Conversion\COC - OVH4 - Labor overhead\Indirect labor cost - Rate per process time.
  4. Review the values in the Absorption basis and Rate FastTabs.
  5. In the tree, select Root\Cost of Conversion\Overhead on Conversion\COC - OVH4 - Labor overhead.
  6. Select OVH4 under Cost group.
  7. Set the Profit percentage to 80.00.
  8. Close all pages.
  9. Go to Product information management > Products > Released products.
  10. Use the Quick Filter to filter on the Item number field with a value of D0002.
  11. On the Action Pane, select Manage costs.
  12. Select Item price.
  13. Select the Pending prices tab.
  14. Select Calculate item cost.
  15. In the Costing version field, enter or select 10.
  16. Select OK.
  17. Select View calculation details.
  18. Select the Prices tab.
  19. Note the Sales price per unit for the cabinet D0002, now based on the profit settings just changed.
  20. Close all pages.

Close the lab environment

  1. Select Done in the Instructions pane in the lab side bar.
  2. In the Lab is complete window, select Continue, and then select Leave to return to the next unit in the module.