Roadmap for Cost Accounting

Applies To: Microsoft Dynamics AX 2012 R3

This topic provides a set of resources for structured learning of cost accounting in supply chain management in Microsoft Dynamics AX 2012. The topics and resources listed here provide background and conceptual information to help you learn about cost accounting.

Cost accounting is used to measure and report financial information that is related to an organization’s acquisition, consumption, and use of resources. In particular, cost accounting in Microsoft Dynamics AX 2012 lets you plan, manage, and track costs for inventory, manufactured goods, and overhead. With Microsoft Dynamics AX 2012, you can use a normal costing method and a standard costing method to plan and manage costs.

Lifecycle

Learn

Define

Maintain

Perform

Resources

Microsoft Dynamics AX 2012 R3 Cost Accounting Help (article)

Microsoft Dynamics AX 2012 R3 Supply Chain (blog)

Microsoft Dynamics AX 2009 White Paper: Cost Management (white paper)

Microsoft Dynamics AX 2009 White Paper: BOM Calculations Using Costing Sheet (white paper)

Microsoft Dynamics AX 2009 White Paper: Standard Cost Conversion Guide (white paper)

Learn

Here’s what you need to do before you deploy and configure cost accounting. These topics will help you learn about the new features for Microsoft Dynamics AX 2012.

Task

Videos and topics

Learn about what’s new in cost accounting

Microsoft Dynamics AX 2012 R3 Inventory aging report (video)

Microsoft Dynamics AX 2012 R3 – Price compare report (video)

What's new: Inventory and warehouse management features

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Define

Here’s what you need to do to define a cost accounting policy to comply with the accounting policy that is used in your organization. You will also learn what you need do to define a structure to make sure that costs and revenues can be captured and allocated between cost centers and profit centers.

Define a cost accounting policy for inventory

Task

Topics

Understand the inventory valuation process

About inventory close

About physical and financial updates

About running average cost price

Track running average cost per inventory dimension

Understand the inventory valuation method

About FIFO with physical value and marking

About LIFO with physical value and marking

About LIFO Date with physical value and marking

About weighted average with physical value and marking

About weighted average date

About moving average

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Define a cost accounting policy for manufacturing products

Task

Topics

Understand cost information that pertains to manufacturing products

Set up production control parameters

About cost categories used in production routings

About co-products and by-products

About the methodology for total cost allocation

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Define a cost accounting policy for indirect costs

Task

Topics

Define rules for calculating indirect costs

About costing sheet setup

Example of a costing sheet setup

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Define a cost allocation policy for overhead

Task

Topics

Define rules for allocating overhead

Define an internal cost allocation

Define a surcharge allocation

Create hierarchy structures

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Maintain

Here’s what you need to do to set up, create, and maintain predetermined costs as well as allocation for overhead. You will also learn how to maintain cost and revenue forecasts that can be used in the predetermined cost calculation.

Maintain predetermined costs

Task

Topics

Set up predetermined costs

About cost groups

About BOM calculation groups

Costing version setup (form)

About costing versions

Create predetermined costs

Calculation for a costing version (form)

Prepare to maintain standard costs for purchased items

Prepare to maintain standard costs for manufactured items

Calculating standard costs for manufactured items

About costing versions containing item purchase prices related to BOM calculations

About costing versions containing item sales prices related to BOM calculations

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Maintain allocation for overhead

Task

Topics

Learn about the allocation process

Create a cost accounting accrual scheme

Create cost accounting accrual transactions

Create rules for allocating overhead

Create reference tables

Distribute costs or quantities

Learn how to budget for overhead

About cost accounting budgeting

About cost budgeting

About service budgeting

About flexible budgets

About setting up a budget model for flexible budgets

Transfer actual costs in a flexible budget

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Perform

Here’s what you need to do to calculate the inventory valuation and cost of goods manufactured.

Perform inventory accounting

Task

Topics

Perform inventory valuation

Closing and adjustment (form)

Adjustment of on-hand inventory (form)

Adjust transactions

Inventory transaction posting (form)

Trace inventory settlement transactions

Cost explorer (form)

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Perform product costing

Task

Topics

Calculate the cost of goods manufactured

About estimated costs for a production order

Run an estimation

Production control

About production posting

About analyzing costs for a production order

About lean manufacturing

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Perform variance analysis

Task

Topics

Analyze the difference between actual costs and standard costs

About analyzing variances for a completed production order

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