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There Are Result Analysis Categories In Wip (work In Process). What Do You Mean By The Result Analysis Category Reserves For Unrealized Costs?

Answer»

If you are CALCULATING the work in process at actual costs, the system will CREATE RESERVES for unrealized costs if the credit for the PRODUCTION order based on goods receipts is greater than the debit of the order with actual costs incurred. The Result analysis category RUCR (Reserves for unrealized cost) WOULD need to be maintained. Normally this is not maintained in most of the companies.

If you are calculating the work in process at actual costs, the system will create reserves for unrealized costs if the credit for the production order based on goods receipts is greater than the debit of the order with actual costs incurred. The Result analysis category RUCR (Reserves for unrealized cost) would need to be maintained. Normally this is not maintained in most of the companies.



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