{"id":903,"date":"2023-01-30T21:45:15","date_gmt":"2023-01-30T18:45:15","guid":{"rendered":"https:\/\/myunusozkorkmaz.com.tr\/?p=903"},"modified":"2023-11-21T08:57:19","modified_gmt":"2023-11-21T05:57:19","slug":"903","status":"publish","type":"post","link":"https:\/\/myunusozkorkmaz.com.tr\/?p=903","title":{"rendered":"CO-PRODUCT COST ALLOCATION TYPES"},"content":{"rendered":"<p>Hello everyone;<\/p>\n<p>On this post, i am going to tell about co-products&#8217; cost allocation types in process manufacturing. This functionality is only applicable on formula type productions (Batch Productions). There\u00a0 are three allocation type options:<\/p>\n<p><strong>None: <\/strong>If allocation type sets to &#8220;None&#8221;, production line costs are not distributed to co-products that are set to &#8220;None&#8221;. Allocation percent is not editable for &#8220;None&#8221; type.<\/p>\n<table width=\"336\">\n<tbody>\n<tr>\n<td width=\"103\"><\/td>\n<td width=\"94\">Item number<\/td>\n<td width=\"64\">Quantity<\/td>\n<td width=\"75\">Cost price<\/td>\n<\/tr>\n<tr>\n<td>Production<\/td>\n<td>Product-1<\/td>\n<td>1<\/td>\n<td>25.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Production line<\/td>\n<td>ProductLine-1<\/td>\n<td>3<\/td>\n<td>-25.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-1<\/td>\n<td>1<\/td>\n<td>0.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-2<\/td>\n<td>2<\/td>\n<td>0.00 \u20ba<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong>Manual: <\/strong>If allocation type sets to &#8220;Manual&#8221;, allocation percentage must be defined manually on co-product line. Production line costs are distributed proportionally to co-products that are set to &#8220;Manual&#8221; .<\/p>\n<table width=\"470\">\n<tbody>\n<tr>\n<td width=\"103\"><\/td>\n<td width=\"94\">Item number<\/td>\n<td width=\"61\">Quantity<\/td>\n<td width=\"148\">Allocation percentage<\/td>\n<td width=\"64\">Cost price<\/td>\n<\/tr>\n<tr>\n<td>Production<\/td>\n<td>Product-1<\/td>\n<td>1<\/td>\n<td>40.00%<\/td>\n<td>10.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Production line<\/td>\n<td>ProductLine-1<\/td>\n<td>3<\/td>\n<td><\/td>\n<td>-25.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-1<\/td>\n<td>1<\/td>\n<td>20.00%<\/td>\n<td>5.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-2<\/td>\n<td>2<\/td>\n<td>40.00%<\/td>\n<td>10.00 \u20ba<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong>None + Manual:\u00a0<\/strong><\/p>\n<table width=\"574\">\n<tbody>\n<tr>\n<td width=\"103\"><\/td>\n<td width=\"94\">Item number<\/td>\n<td width=\"100\">Co-product cost allocation<\/td>\n<td width=\"61\">Quantity<\/td>\n<td width=\"148\">Allocation percentage<\/td>\n<td width=\"68\">Cost price<\/td>\n<\/tr>\n<tr>\n<td>Production<\/td>\n<td>Product-1<\/td>\n<td><\/td>\n<td>1<\/td>\n<td>80.00%<\/td>\n<td>20.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Production line<\/td>\n<td>ProductLine-1<\/td>\n<td><\/td>\n<td>3<\/td>\n<td><\/td>\n<td>-25.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-1<\/td>\n<td>Manuel<\/td>\n<td>1<\/td>\n<td>20.00%<\/td>\n<td>5.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-2<\/td>\n<td>None<\/td>\n<td>2<\/td>\n<td>0.00%<\/td>\n<td>0.00 \u20ba<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong>TCA:<\/strong> If allocation type is going to be set to &#8220;TCA&#8221;, total cost allocation checkbox must be marked and at least one planned cost that is actively verisoned must be defined for each co-products. System calculates for each co-products cost allocation percent automatically. It is calculated as (co-product&#8217;s planned cost * co-product quantity)\/(-1*total production line costs) <em><strong>(TCA is going to be published more detailed on my following post).<\/strong><\/em><\/p>\n<table width=\"567\">\n<tbody>\n<tr>\n<td width=\"103\"><\/td>\n<td width=\"94\">Item number<\/td>\n<td width=\"61\">Quantity<\/td>\n<td width=\"93\">Planned costs<\/td>\n<td width=\"148\">Allocation percentage<\/td>\n<td width=\"68\">Cost price<\/td>\n<\/tr>\n<tr>\n<td>Production<\/td>\n<td>Product-1<\/td>\n<td>1<\/td>\n<td><\/td>\n<td>0.40<\/td>\n<td>10.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Production line<\/td>\n<td>ProductLine-1<\/td>\n<td>3<\/td>\n<td><\/td>\n<td><\/td>\n<td>-25.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-1<\/td>\n<td>1<\/td>\n<td>5.00 \u20ba<\/td>\n<td>0.20<\/td>\n<td>5.00 \u20ba<\/td>\n<\/tr>\n<tr>\n<td>Co-Product<\/td>\n<td>CoProduct-2<\/td>\n<td>2<\/td>\n<td>5.00 \u20ba<\/td>\n<td>0.40<\/td>\n<td>10.00 \u20ba<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<p><strong>SCENARIO:<\/strong><\/p>\n<p>A formula version scenario &#8211; contains ProductLine-1 as formula line and COPRODUCT-1 and COPRODUCT-2 as co-products and respectively, co-product allocation types &#8220;Manual&#8221; and &#8220;None&#8221; are assigned to them- is created for Product-1.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-341\" src=\"https:\/\/yunusozkorkmaz.files.wordpress.com\/2020\/08\/2020-08-15_13-30-53.jpg\" alt=\"2020-08-15_13-30-53\" width=\"1256\" height=\"439\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>After ending the batch order, the result is as shown below:<\/p>\n<p>&nbsp;<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-343\" src=\"https:\/\/yunusozkorkmaz.files.wordpress.com\/2020\/08\/2020-08-15_14-28-19.jpg\" alt=\"2020-08-15_14-28-19\" width=\"1307\" height=\"296\" \/><\/p>\n<p>&nbsp;<\/p>\n<p>Kind regards.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hello everyone; On this post, i am going to tell about co-products&#8217; cost allocation types in process manufacturing. This functionality is only applicable on formula type productions (Batch Productions). There\u00a0 are three allocation type options: None: If allocation type sets to &#8220;None&#8221;, production line costs are not distributed to co-products that are set to &#8220;None&#8221;. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[92,104],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=\/wp\/v2\/posts\/903"}],"collection":[{"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=903"}],"version-history":[{"count":2,"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=\/wp\/v2\/posts\/903\/revisions"}],"predecessor-version":[{"id":905,"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=\/wp\/v2\/posts\/903\/revisions\/905"}],"wp:attachment":[{"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=903"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=903"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/myunusozkorkmaz.com.tr\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=903"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}