Cost Variances

Some special circumstances apply when job cost lines and inventory lines allocated to a job are received using PO Entry, and subsequently invoiced using AP Invoice Entry, where a cost variance exists.

JC Purchase Order Lines

The treatment of receipt or invoice cost variances is determined based on the PO Module Control cost variance option.

Options Reference

Each option and field on the form is described below. Mandatory options and fields are highlighted in red.

Adjust Cost of Job

If you select this option, a cost variance transaction generates if the cost of the AP (JC) invoice line differs from the receipt cost of the same line. This cost updates the cost of the job, and display in the Job Maintenance/Cost Transactions table.

Adjust General Ledger Only

If you select this option, the job cost does not update with any variance value. No transaction displays to reflect variances in the Job Maintenance/Cost Transactions table.

IN Purchase Order Lines, allocated to a Job

The Greentree-defined JCPOAdj transaction type generates the cost variance transaction where an IN line is being allocated to a job and the AP invoice cost differs from the PO receipt cost.

The variance updates to the cost of the job, and displays in the Job Maintenance/Cost Transactions table.

Notes:

The transaction takes the form of a JC GL Cost Adjustment.
The transaction reference is assigned.
The line narration reflects the source of the transaction.
The line quantity of the adjustment line always be 1.00, regardless of the original PO or AP line quantity.