BOM Costing in different Currency

BOM Costing in different Currency

Before submitting, the user can modify the currency in the BOM. Based on the price list currency, the system determines costs. By changing the Currency in the BOM, you can view the production costs in a particular currency.

Take into account that you import raw plastic from Japan, and the sales invoices are in yen. Although the BOM costing should be done in Yen, your organization uses INR as its currency. The raw materials used in the BOM will also have rates set in Yen if "Rate of Materials Based On" is set to "Price List". These prices are taken from the Japan Price List that you make. It is a "Import Japan" buying price list in this instance.

The prices will be acquired from the item master or the sales invoice, respectively, if you set "Rate Of Materials Based On" to "Valuation Rate" or "Latest Purchase Rate". You must specify the Valuation Rate in your currency while using the Item Master. The BOM's set currency will be changed to using the valuation rate.