Definicja net target cost

Co znaczy NET TARGET COST:

The costs that are used to calculate variances in Product Cost by Period and Product Cost by Order.

They are calculated as follows:

In Product Cost by Period -

Net target cost = Target cost - Work in process at target cost - Scrap variance

In Product Cost by Order -

Net target cost = Target cost - Scrap variance

Net target costs can be calculated in all target cost versions that compare target costs to actual costs. In the standard system, these are target cost versions 0, 1, and 3.