How To Update Average Cost of an Item

This tutorial will explain you the steps to update the average cost of an item

This blog is categorized in three parts 

• First Part - Checking the existing cost of an item 
• Second Part - Update the unit cost 
• Third Part -  Checking the updated unit cost of an item

First Part - Query the Existing Unit Cost of an Item


Once you are logged in oracle application select any of the Inventory or Cost management responsibility

Navigate to Costs -->Item Costs

Click on the Open button

Select the required organization

Enter the Item and click on find  

Here you can see the item unit cost is reflected as 30

Note - This Unit cost can be updated by any of available standard transactions.

           For demonstration purpose i will update the cost manually 

  

Second Part - Updating the Unit Cost of an Item

Navigate to Costs --> Average Cost Update

Click on the Open button

Select the required organization

Enter the header level details like Date, Type, Adjustment Account.

For Cost update enter line level details at line level

Note - Here you can specify the New average cost of item or specify the % change

Click on the Save button

Close the form

Third Part - Querying the Updated Unit Cost of an Item 

Navigate to Costs -->Item Costs

Click on the Open button

Select the required organization

Enter the Item and click on find  

Here you can see the item unit cost is reflected as 40

Note - The Unit Cost will reflect while creation of Internal Requisition