Hi Friends,
I seek your help in understanding ‘Rounding Variance’ account used for Standard costing in Microsoft Dynamics AX 2012 CU7.
We have few items with Standard cost as costing method.
In the item postings, on standard cost variance tab, I can see an account ‘Rounding Variance’ defined.
For a few standard cost items, when a purchase order invoice is posted, I see some small values (0.01, 0.03) hitting the ‘Rounding variance’ account. Also sometimes on posting the invoice, it is observed that system posts huge amounts (Cost price for the item) to the same ‘Rounding Variance’ account.
Can someone help me in understanding the functioning of this account ‘Rounding Variance’ as to when and how it is to be used correctly. Also, if someone can confirm that the behavior I have just notified above is correct or incorrect. If correct, what is the business logic. If incorrect, how to get rid of it
Thanks in anticipation