Patent ID: 7693756
Filing Date: 2010-04-06
Classification: G06Q

Abstract:
1. A method for determining absorption costs for transfers between a plurality of cost groups of a business operation, one or more computer systems executing the following steps: determining with a computer system a processing sequence for said plurality of cost groups wherein each cost group comprises an inventory site; for iteration (n) where n>1, calculating with the computer system a periodic moving average cost of a transferable item for each of said plurality of cost groups according to said processing sequence, wherein said periodic moving average cost comprises a cost incurred when said transferable item is transferred between said plurality of cost groups; calculating with the computer system a difference between said periodic moving average cost calculated in iteration (n) for each of said plurality of cost groups and a periodic moving average cost calculated in iteration (n−1) for each of said plurality of cost groups; and repeating calculating the periodic moving average cost and calculating a different between the periodic moving average cost calculated in iteration (n) and a periodic moving average cost calculated in iteration (n−1) until said difference is within a specified tolerance.