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Old 19th January 2017, 06:05
ntkiet73 ntkiet73 is offline
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Baan: IV - DB: SQL - OS: Windows
Cost Price Calculation
Baan: Other/Unknown

Dear All:

We are using Baan IV. We set the Method of Calculating Average Purchase Price as Current Inventory.

We have data from the beginning of one purchased item as attached file.

The system computed the month-end average prices differ to the manual calculation.

Could you please help to take a look and advise the differences between them?

Thanks a lot!
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File Type: xls Average Cost Calculation.xls (50.0 KB, 16 views)
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Old 27th January 2017, 12:36
erplncons erplncons is offline
Join Date: Oct 2008
Posts: 88
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Baan: All - DB: All - OS: All
As per my knowledge, BaaN uses following formula to calculate the moving average purchase prices:
MAPP1 = (Quantity 1 x Purchase Price 1 + Quantity 2 x Purchase price 2) / (Quantity 1 + Quantity2 )
MAPP2 = (MAPP1 x (Quantity 1 + Quanitity 2) + (Purchase Price 3 x Quantity 3) / (Q1 + Q2 + Q3)
This goes on with subsequent purchase receipts and if you calculate using the above formula the MAPP at the end of Oct 15 is 2.4638 whereas the as per BaaN it is 2.45398. The difference could be due to rouding factors, which you may have to check.
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