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Sep 20, 2018 at 12:43 AM

Target Cost on Production Order

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HI Expert

How is target cost calculated

Plan Qty = 100

GR Qty = 85

Raw Mat RM-PK-PB-00023

0.14 pc For 1 FG

Plan Qty for Mat RM-PK-PB-00023 = 100 * 0.14 = 14 pcs

Target Qty for Mat RM-PK-PB-00023 = 85 * 0.14 = 11.90.

Plan Cost = 4.90

Target Cost = 5.10

Kindly advise how is target cost 5.10 calculated for raw material RM-PK-PB-00023?

Attachments

targetcost23.png (27.0 kB)