Category Archives: Product Costing

SAP S/4 HANA 1709 – Part IV – Effect on COGS Posting in FI
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SAP S/4 HANA 1709 – Part IV – Effect on COGS Posting in FI

SAP S/4 HANA 1709 – Part IV – Effect on COGS Posting in FI After the previous post, in this part of the series of posts we will try to see the improvements in SAP S/4 HANA 1709 that have Effect on COGS Posting in FI. Splitting the Cost of Goods Sold 1709 has come […]

SAP CO-PA Valuation using Material Cost Estimate – Part IV
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SAP CO-PA Valuation using Material Cost Estimate – Part IV

SAP CO-PA Valuation using Material Cost Estimate – Part IV Once we are through with assignment of Costing Keys to the relevant characteristics next step is to assign value fields. In this post we will see how this can be done. IMG Path: Controlling > Profitability Analysis > Master Data > Valuation > Set Up Valuation Using Material […]

SAP CO-PA Valuation using Material Cost Estimate – Part III
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SAP CO-PA Valuation using Material Cost Estimate – Part III

SAP CO-PA Valuation using Material Cost Estimate – Part III In our previous post we have gone through creation of Costing Key which plays central part in whole Valuation using Material Cost Estimate. Now in this post we will get into details of options available for assignment of Costing Keys for recording of valuation in […]

SAP CO-PA Valuation using Material Cost Estimate – Part II
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SAP CO-PA Valuation using Material Cost Estimate – Part II

SAP CO-PA Valuation using Material Cost Estimate – Part II In the previous post we have gone through the creation and assignment of Valuation Strategy which is first step in Valuation using Material Cost Estimate. Now in this post we will look what steps are required to be performed thereafter. Creation of Costing Key IMG […]

SAP CO-PA Valuation using Material Cost Estimate – Part I
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SAP CO-PA Valuation using Material Cost Estimate – Part I

SAP CO-PA Valuation using Material Cost Estimate – Part I CO-PA is used for viewing the profitability of any organisation. The profitability report majorly contains following components: Out of the above components, Cost of Sales plays critical part in the Profitability. In case of Retail Industry (Trading Business) the business is more interested in total […]

SAP Costing Variant – Part V (Quantity Structure Control)
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SAP Costing Variant – Part V (Quantity Structure Control)

Quantity Structure Control We have been going through various components of Costing Variants. As explained earlier all these components constitute to the Product Costing in Controlling Module. The Quantity Structure Control is a component which controls parameters of Quantity Structure like Bill of Material (BOM) and Routing/Recipe. Definition Used in cost estimates with quantity structure […]

SAP Activity Type Overview
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SAP Activity Type Overview

Activity types Classify the activities produced in the cost centers within a controlling area. Use To plan and allocate the activities, the system records quantities that are measured in activity units. Activity quantities are valuated using a price (allocation price). In Overhead Cost Controlling, costs based on the activity quantity of an activity type are […]

SAP Costing Sheet – Part I – Calculation Base
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SAP Costing Sheet – Part I – Calculation Base

Calculation Base in Costing Sheet Costing Sheet is a part of Overhead under Product Cost Planning under Controlling Module of SAP. A Costing Sheet helps us in adding cost incurred on manufacturing of a product which is not possible using Activity Types. A Costing Sheet can be used in various purposes, but here we will be […]

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SAP Costing Sheet – Part II – Overhead Rates

Overhead Rates in Costing Sheet Welcome to the next post in the series of Costing Sheet and it’s components. This is the second part where we will be looking into the “Overhead Rates” component of Costing Sheet. This component is used to define the rate at which the amount is calculated  on the base amount […]

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SAP Costing Sheet – Part III – Credits

Credits under Costing Sheet This is third post in the series of configuring Costing Sheet. In this post we will discuss about “Credits” which is the next component of Costing Sheet. It  is important to understand that Cost allocation is part of the process of determining overhead rates. If this leads to an object being […]