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by Srihari Subramaniam, Manager, Capgemini US LLC April 2, 2010
SCM/Financials – 

In a make-to-order scenario, you have three inventory valuation methods you can use. It is crucial to choose the right method for each order — if you choose the wrong one, you cannot correct it, so you must cancel the order and re-enter it in the system. Walk through each method and find out when to use each.